Extracting the agent at renewal

[SorenLorensen]

Coming up for contract renewal in 6 weeks time, a few of us here have been getting messed around by the agency - main issue by far is very late, sometimes non-payment of invoices. We're thinking of trying to drop the agent and go direct for the next renewals (which have been mentioned). We're all opted-in to the agency regs.

Has anyone else done this? What should we be aware of, any issues or problems likely to arise?

[SueEllen]

Have you made the client aware of what is happening?

Also with your non-payment/late payment of invoices have you thrown the book at the agency in writing i.e. warned them in writing, threaten to take them to court etc?

[Wanderer]

Coming up for contract renewal in 6 weeks time, a few of us here have been getting messed around by the agency - main issue by far is very late, sometimes non-payment of invoices. We're thinking of trying to drop the agent and go direct for the next renewals (which have been mentioned).

An agency having problems paying is going to affect both the contractors and the client. If an agency was having trouble paying me then I'd be concerned that there is a risk that the agency may go bust and default on the payments.

Probably the only way to change agencies is to ask the client to collude with you. You should get details of the late/missing payments and tell the client you are concerned about the late payments as you can see no good reason why they couldn't have been made on time (with the implication that the agency is either incompetent or insolvent). The client may tell you that it's your problem or they may be willing to dump the agency and engage you through another agency. It's quite unpredictable how they will respond.

No doubt you have lock-in clauses in your contracts. Are they longer than the allowable lock-in stated in the Agency regulations? If so then perhaps you could argue that they are not valid. Alternatively, you could argue that the agency is in breach of contract for late payment of invoices.

The client may be able to get another agency on their PSL to do a deal with your agency to take you on, perhaps the new agency would pay the current agency a fee for this, but that's for them to sort out themselves.

As for the late payments, there is a well established procedure for this. Check out this thread. Don't forget to add penalties and interest as per The late payment of commercial debts (interest) Act 1998. (Google for "payontime")

[FarmerPalmer]

if agent is getting consistent in late / not paying then I would drop them and run.

Either get a contract elsewhere or stay with client but get agent dropped out of loop for being in breach on contract and go direct.

The agent may be in financial trouble and you may get caught out if you stay in the Status Quo.