I have a friend whose name is John who has, through his own limited company, been working for a company (company A) without a contract (company A is another 1 man band). The work for Company A is for a contract they have to deliver to Company B. This has now been going on for 10 months.
John has been working very hard (long days, often 7 days per week, for the last 10 months) and is shattered but is trying to deliver enough so that Company A can meet their contractual obligations, which is much overdue.
Company A has said to company B that if the work overruns the next deadline then any further work will be completed free-of-charge. John reluctantly agreed as he is close to completion and under pressure. John is owed in the region of 20k but is trying to draw this to a amicable conclusion for professionalism, however, has the opportunity for a contract back with another company (C).
While John realizes this situation has got out of control, he doesn't intend to leave Company A in trouble, he does have to think about his own future and has a very good reputation at company C where he wants to work. His plan would therefore be; if the work overruns to finish it off outside of the work for Company C which is not ideal but what he feels is right. Otherwise he stands to loose a good contract and keep chasing a cluster-fk of a project.
For the payments that he has received, John has invoiced for design work by the hour to Company A.
So with that can of worms open....
Could John and his company be held liable for breech of contract between Company A and Company B?
John has been working very hard (long days, often 7 days per week, for the last 10 months) and is shattered but is trying to deliver enough so that Company A can meet their contractual obligations, which is much overdue.
Company A has said to company B that if the work overruns the next deadline then any further work will be completed free-of-charge. John reluctantly agreed as he is close to completion and under pressure. John is owed in the region of 20k but is trying to draw this to a amicable conclusion for professionalism, however, has the opportunity for a contract back with another company (C).
While John realizes this situation has got out of control, he doesn't intend to leave Company A in trouble, he does have to think about his own future and has a very good reputation at company C where he wants to work. His plan would therefore be; if the work overruns to finish it off outside of the work for Company C which is not ideal but what he feels is right. Otherwise he stands to loose a good contract and keep chasing a cluster-fk of a project.
For the payments that he has received, John has invoiced for design work by the hour to Company A.
So with that can of worms open....
Could John and his company be held liable for breech of contract between Company A and Company B?
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