Would you forfeit 20% of your contract value?

[norrahe]

I have heard of people doing the form a new ltd approah to get around this in the past. Seems like a bit of a dodge, but it is an option, if a bit risky. I don't favor that at the mo.

A friend did that when asked back directly to an old clientco, she had no problems.
I would advise checking the wording of your contract, if it's xenocorp then it pertains to your company and not a named individual. If you are specifically the named employee on the contract, then it might not be the best route to take.

[Zippy]

My contracts have tended to state that I am not allowed to work for the agency's client (via someone other than the agency) for a period of n months. If the end client has 'sacked' the agency, then surely the agency can't consider them a client and this clause cannot apply?
Or is it just me?

[swamp]

Not So Wise by name, Not So Wise by nature.

No need to sigh. You're not talking to an inexperienced contractor here. I know all about Employment Regs and the fact that if you opt-in this clause is void.

I, like a true contractor, opted-out.

Did you sign the opt out before you started work?

[downsouth]

You said there were a couple of hundred involved. In this case, with a load of wild assumption you are looking at a substantial sum of lost revenue to the agency.

It is unlikely they will just take it lying down.

but surely in this case you'd need to look at this a different way, if the client - agency contract does not exist, then would the agency continue to pay the LTD company who decides they will honour the agency - LTD contract and continue payments, afterall the LTD has done nothing wrong in this.

Somehow I very much doubt it, how many times do we hear that the client has ended the contract and therefore the agency also does the same with the LTD.

Each LTD has to protect its income streams and are these restrictive terms really enforceable??? most LTD are the small fry in these arrangements and often roll over as they dont have the cash, access to highly paid legal bods to challenge these terms.

[RichardCranium]

I wish I had thought of this a few hours ago:

Might contacting egos be worthwhile? He is an IT contract law specialist and for a day or two's money he can give you a definitive answer / way to proceed.

As there are a couple of hundred of you onsite then between you (and I think I suggested this to someone else a few days ago) it need not be expensive. If you can find half a dozen others to share the cost then it is a trivial expense.

Go get some proper grown-up legal advice. You're a professional and you deserve it.

[singhr]

I did this once and got away with it but it was a very stressful experience. The previous agency withheld payment of my last invoice which was quite a chunk as it was monthly payment. They coughed up in the end but I had quite a few sleepless nights. I would decline and put onus on your client to resolve with agency or walk away.

[BlasterBates]

I would see a lawyer on this one. My gut feeling is that under normal circumstances an agency is entitled to compensation, but under the current circumstances where a client is refusing to work with the agency, I think probably not. It is too grey an area for a tel. call to a help line, or alternatively go ahead and contact the lawyer when you need them. I think the most likely worst case is them holding back the last payment.

[Not So Wise]

Not So Wise by name, Not So Wise by nature.

No need to sigh. You're not talking to an inexperienced contractor here. I know all about Employment Regs and the fact that if you opt-in this clause is void.

So you went though a agency, client hired you on basis of your CV without ever talking to you (email,phone,face to face, séance) or agency made you sign the opt out before any of the afore mentioned happened?

Because if that is not the case (very very very rare) you are actually opted in regardless of what you signed

I, like a true contractor, opted-out.

Phrase normally quoted by those who have been drinking to much agency koolaid

[Hex]

I would write to the existing agency and inform them that my contract is up for renewal. I would say that if they wish to renew you to work at the current contract, then they should let you know by "such and such date (sometime in the next week)" and send you a contract by that date, otherwise you will presume that they do not want to renew you, in which case you will investigate the possibility of carrying on working there through another party.

If you have asked them formally for a contract for signing and they don't send you one then I would think you would be in a stronger position to go via a different agency. It would at least show that you tried to involve them in the renewal and they didn't take you up on the offer.

[swamp]

So you went though a agency, client hired you on basis of your CV without ever talking to you (email,phone,face to face, séance) or agency made you sign the opt out before any of the afore mentioned happened?

Because if that is not the case (very very very rare) you are actually opted in regardless of what you signed

This is my understanding of the Employment Regs. If you have been "introduced" in any way to the end client (before you sign) then you cannot opt out.

http://www.opsi.gov.uk/si/si2003/20033319.htm

(9) Subject to paragraph (12), paragraphs (1) - (8) shall not apply where a work-seeker which is a company, and the person who is or would be supplied by that work-seeker to carry out the work, agree that they should not apply, and give notice of that agreement to an employment business or agency, provided that such notice is given before the introduction or supply of the work-seeker or the person who would be supplied by the work-seeker to do the work, to the hirer.

My reading of "introduction" is interview. At least the moment you start work for the client you cannot opt out.