Breach of contract - Late payment - Advice?

[oxtailsoup]

I have been paid late by my agency on a number of occasions in the last 12 months.

My current contract finished yesterday and I have my contract extension to sign for the next three months (same agency and client).

However I am looking at the possibility of not signing with the same agent because of this late payments issue.

My contract states that my monthly invoice will be paid within 20 working business days of receipt. This has not happened.

Because they have breached the contract does it mean that I can work for the same client without using the same agency. My contract says I can't do this but if they have breached the terms (i.e. the payment issues I'm having) of their own contract does this make the contract null and void?

I may sound like I'm being harsh on the agency but this is the 4th time I've been paid late and I'm still waiting for answers as to why I haven't been paid yet. They are 'looking into it'.

The client is great and I don't want to lose them.

[Sockpuppet]

If they have broken the contract you can work directly for the client however you'll find out they have a contract with the client and will demand money from them for supplying you so they client may say no.

[ASB]

If they have broken the contract you can work directly for the client however you'll find out they have a contract with the client and will demand money from them for supplying you so they client may say no.

Just because one part breaches a contract does not entitle the other to do so. It is necessary to negotiate settlement of the breach in a mutually agreable manner or take resource through court. Simply breaching the contract would expose large risk of counter suit.

[DS23]

i'd be very concerned. very concerned. late payements are due to admin incompetence or cash flow issues. probably both.

have the agency paid december? if you have january work invoicing now and that get's delayed too... you might decide to wait another 20 days just-in-case... worst case situation then is that the agent and your dues go swirling down the toilet - you will have worked for nothing for three months.

now is a very good time to formally point out the breaches of contract with them and demand immediate explanation or no renewal.

have a quiet word with the end client too - find out if they would be willing to support you in a move direct or through another agent. if not - you have a tough decision to make.

[oxtailsoup]

I haven't been paid December. Just about to invoice January today.

My project manager knows the situation and will back me up. Thing is that I am now working without contract technically. I have a great working relationship with the client. It isn't an option for them to lose me at this stage.

Agency still haven't got back to me with an answer. It appears to be another admin cock up. Latest I have from them is "we are looking into it". That was since yesterday morning. It can't take that long to look into it.

[pippo]

I haven't been paid December.

...

Agency still haven't got back to me with an answer. It appears to be another admin cock up. Latest I have from them is "we are looking into it". That was since yesterday morning. It can't take that long to look into it.

Please could you name and shame this agency? The information would be beneficial for us all.

[MarillionFan]

How late is late?

I'm still waiting for the last week in November, all of December and I havent invoiced for any of Jan yet.

You here me crying? Do yeh, do yeh!!!

Actually think I might ring them up!!!!

[DS23]

[QUOTE=oxtailsoup] Thing is that I am now working without contract technically. QUOTE]

if you are on site and working - you have a contract regardless of whether anything is signed or not. the old contract will be taken as basis.

if i was you i would not submit the new invoice until december is paid. i would also not be on site next week until december is paid. have a heart to heart with the end client and warn them right now.

[DS23]

[QUOTE=MarillionFan]How late is late? QUOTE]

late is anything not paid as per contract.

i've been there (unpaid for months at a time) and got seriously bitten. won't ever do it again.

[Not So Wise]

"I may sound like I'm being harsh on the agency"
You are not, by signing the contract with that kind delay in payment you were being overly lenient with them. Once you are placed in contract agencies basically earn their margin rates for acting as a glorified factoring agent. By giving them such leeway on paying you they have basically been getting money for nothing as they probably have the same lead time in the client paying them, which means no exposure for them.

Honestly by sounds of things, unless this a major agency (which can be notorious for "admin problems"...funny that they are always in the agencys favor though) I would say this is an agency with cash flow problems, not something you want to be dealing with if you can avoid it but if you have to deal with them then minimise your exposure to an absolute minimum (max 10 working days)

If the client is aware of the problems try to get them to give you a copy of the contract they have with the agency then bring both contracts to your own lawyer and see what he recommends (and recommend they do the same)

If there is no decent solution recommended by the lawyers then sorry to say your best option is to start looking for a new position as to continue dealing with such an agency is just asking to get burned....big time