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Agency Invoicing for Lost Commission

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    Agency Invoicing for Lost Commission

    Maybe a sign of hard times, but I've just received an invoice from a recruitment agency for a contract I had to bow out of after a day.

    My reasons for departing were many, from the description of the project (a complete site rebuild which in reality had already been built and only required some functionality to be written on top of it), to the state of the organisation which (even their Snr BA said) was going to cause the project to fail.

    I made all this clear in an email to the agent that evening and advised him that I was not the man from the job and that, in fact, they probably would not want to be associated with a project doomed to failure from a reputation perspective. Obviously he gave me the usual verbal, but at the end of the day I wasn't going to dig my own grave.

    Roll on ten days and in the post comes an invoice for the loss of their commission. So, any thoughts on this? I am disputing the invoice for the reasons above (and others), but it would be good to get a feeling as to the legal temperature on this? Am I not also in a position to bill them for the day I worked?

    Let me know.

    #2
    Originally posted by youknowsit View Post
    Maybe a sign of hard times, but I've just received an invoice from a recruitment agency for a contract I had to bow out of after a day.

    My reasons for departing were many, from the description of the project (a complete site rebuild which in reality had already been built and only required some functionality to be written on top of it), to the state of the organisation which (even their Snr BA said) was going to cause the project to fail.

    I made all this clear in an email to the agent that evening and advised him that I was not the man from the job and that, in fact, they probably would not want to be associated with a project doomed to failure from a reputation perspective. Obviously he gave me the usual verbal, but at the end of the day I wasn't going to dig my own grave.

    Roll on ten days and in the post comes an invoice for the loss of their commission. So, any thoughts on this? I am disputing the invoice for the reasons above (and others), but it would be good to get a feeling as to the legal temperature on this? Am I not also in a position to bill them for the day I worked?

    Let me know.
    Is there any mention in your contract that if you leave within a certain time frame that you owe them any lost commission? If not, don't pay and force their hand. The chances are they will let it go.
    If your company is the best place to work in, for a mere £500 p/d, you can advertise here.

    Comment


      #3
      What does your contract say? Does it have a notice period you have to give?

      If so and you just walked off-site without notice then, in theory, the agency have the right to chase, and potentially sue yourco, for any lost income during that period.

      Comment


        #4
        Invoice them for the day work. Dispute their invoice again, with reasons. Maybe get a lawyer to write the letter.

        Get legal advice.
        Down with racism. Long live miscegenation!

        Comment


          #5
          If you have a notice period in your contract, then you are in breach and they could sue your company for damages for breach. However, they would need to pursue this in court, which they are unlikely to do.

          If you are a member of the PCG then ring their legal help line. If not, then join, and then ring their legal help line.
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          Comment


            #6
            Originally posted by TheFaQQer View Post
            If you have a notice period in your contract, then you are in breach and they could sue your company for damages for breach. However, they would need to pursue this in court, which they are unlikely to do.

            If you are a member of the PCG then ring their legal help line. If not, then join, and then ring their legal help line.
            Is that allowed? I thought you had to declare no ongoing dispute when joining?

            Comment


              #7
              Originally posted by BrilloPad View Post
              Is that allowed? I thought you had to declare no ongoing dispute when joining?
              Dunno.

              I doubt it's a problem, though - it's not like the OP is claiming on the insurance, they just need some decent legal advice and sharpish.
              Best Forum Advisor 2014
              Work in the public sector? You can read my FAQ here
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              Comment


                #8
                Originally posted by youknowsit View Post
                Maybe a sign of hard times, but I've just received an invoice from a recruitment agency for a contract I had to bow out of after a day.

                My reasons for departing were many, from the description of the project (a complete site rebuild which in reality had already been built and only required some functionality to be written on top of it), to the state of the organisation which (even their Snr BA said) was going to cause the project to fail.

                I made all this clear in an email to the agent that evening and advised him that I was not the man from the job and that, in fact, they probably would not want to be associated with a project doomed to failure from a reputation perspective. Obviously he gave me the usual verbal, but at the end of the day I wasn't going to dig my own grave.

                Roll on ten days and in the post comes an invoice for the loss of their commission. So, any thoughts on this? I am disputing the invoice for the reasons above (and others), but it would be good to get a feeling as to the legal temperature on this? Am I not also in a position to bill them for the day I worked?

                Let me know.
                Never ceases to amaze me, the number of contractors who say they are businesses when IR35 is mentioned but dont act like proper businesses in reality.

                I dont think its a sign of the times, I think the agent is pissed off that you jibbed the contract without regard to the contract you signed.

                Better try and resolve it amicably, legal costs can be quite frightening. Good luck though.
                I couldn't give two fornicators! Yes, really!

                Comment


                  #9
                  Definitely bill for the days work. List the issues with the gig that made it impossible for you to continue. If it difers from the agents description and what the client was claiming there should be no probs.

                  Then issue another invoice for the loss of earnings due to the contract not being as described.

                  Comment


                    #10
                    Your maximum liability will be effectively capped by their actual financial loss on the contract. So, if they were entitled to a weeks notice and you broke the contract then they could, I believe, sue you for the lost commission for the week you didn't work. However, you should invoice them for the time you did work. I am not a lawyer etc..
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