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Agency has gone into administration owing several invoices

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  • simonb1
    replied
    still with the end client

    I'm still with the end client - the re-seller and a new agency. The re-seller moved me to the new agency with the promise of paying the unpaid work and then 3 weeks ago after finishing the transition all new contracts signed, reneged on the promise. The client is leaning on the re-seller to find a solution but it is coming clear they will do nothing. The client has told me legally there is nothing they can do, they are sympathetic to me and are quietly suggesting I work for them through another route at a higher rate. My relationship with the client is very important.

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  • northernladuk
    replied
    If you are still working for the end client.... Why?????

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  • LondonManc
    replied
    The key here is - are you still working with the end client?
    If so, speak to them about your situation; they may be able to get the contract terminated and get you through a different agent on better terms.

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  • billybiro
    replied
    Originally posted by Cirrus View Post
    Not seen that term before in a contracting context.
    And what do you think a recruitment agent is?

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  • DeadEyedJacks
    replied
    Also please name the reseller and agency so we know to avoid any new companies they may spin up...

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  • Hobosapien
    replied
    If you are still working for the client raise your fees due to 'operational risk' to claw back some of what is owed. They are obviously a dodgy bunch based on the setup you describe so don't expose yourself to any more risk than you can live with. i.e. any future work is paid in a shorter time scale so there's no chance of going unpaid for multiple invoices. You 'down tools' if an invoice is unpaid in the agreed timescale.

    If you're moving on then not much you can do but ensure your debt is registered with the administrators. With a bit of luck they'll go after the re-seller company due to any cross ownership, but expect and prepare to get nothing significant back from what you're owed so you can plan accordingly financially wise.

    Depending on the accounting method (cash or accrual) you may be able to offset the unpaid invoice as a loss against profits to reduce tax, so worth checking with your accountant if you have one.

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  • northernladuk
    replied
    Doesn't the re-seller want you anymore? Can the put you through a different agent? You aren't still working for them are you?

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  • northernladuk
    replied
    Contract was with the agent not the re-seller so thats where you have to go. The administrators would have to investigate the links and if anything is recoverable.

    Do you have IPSE+ membership so can claim on the business interruption cover?

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  • Cirrus
    replied
    Originally posted by simonb1 View Post
    I was forced by a re-seller
    Not seen that term before in a contracting context.

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  • Agency has gone into administration owing several invoices

    I was forced by a re-seller to use an agency that has gone into administration, owing me several unpaid invoices. The agency was part owned by the re-seller and shared a lot of business. The re-seller refuses to acknowledge any debt to me, directing me to the administrators. What can i do ?

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