Late payment, reason to terminate contract?

[TheFaQQer]

It is? Source? Don't not believe you, just never heard of that before.

The Late Payment of Commercial Debts Regulations 2013 - Pay on Time

Reference rate = 0.5%
Penalty rate = reference rate + 8% = 8.5% APR

Interest due on £1350 for 31 days late = £9.75

Statutory admin fee = £70 ( more than £1000, less than £10000 due)

Total due = £79.75

(The admin fee is £40 for outstanding balances under £1000, and £100 for balances over £10000)

I have a spreadsheet to calculate the penalty from when one of my clients kept paying late - bear in mind you can still chase up to five years after the debt is settled, IIRC.

[Cenobite]

Snap ... I've issued penalty invoices and the agency paid them...

Did you do that while you were still with the agency or after you'd left? I think you have six years to issue a penalty invoice.

[Cenobite]

A single late payment is no way a breach and would never stand up in court. It's late, it isn't a breach in the agreement between the two parties.

I disagree: if the first payment is late the client/agent has a 100% track record of paying you late. For me, that first payment being on time is absolutely key. In my experience, if people get away with something once, they think they can get away with it again.

[ASB]

If the late payment is building up then there does come a point at which the directors need to consider their fiduciary duty. Withdrawal from the contract could eventually become appropriate.

[northernladuk]

I disagree: if the first payment is late the client/agent has a 100% track record of paying you late. For me, that first payment being on time is absolutely key. In my experience, if people get away with something once, they think they can get away with it again.

It might be key to you but it still won't stand up in court and isn't a reason to terminate.

[SueEllen]

It might be key to you but it still won't stand up in court and isn't a reason to terminate.

WNLUKS

Unfortunately you need to be "reasonable" in your business dealings and terminating a contract for this reason on one late payment isn't seen as reasonable.

[Old Greg]

It might be key to you but it still won't stand up in court and isn't a reason to terminate.

What's the issue with termination?

Tell them you're unavailable for the next four weeks and then give four weeks' notice.

[Cenobite]

It might be key to you but it still won't stand up in court and isn't a reason to terminate.

You're such a mug: you must be a complete push over.

[TheFaQQer]

It might be key to you but it still won't stand up in court and isn't a reason to terminate.

Unless the contract includes the terms and a clear indication that the payment schedule is key to the contract. If that's the case, then it becomes a breach of condition, whereby you could terminate for breach (and also sue for damages).

[SueEllen]

Unless the contract includes the terms and a clear indication that the payment schedule is key to the contract. If that's the case, then it becomes a breach of condition, whereby you could terminate for breach (and also sue for damages).

How many contracts have this in them?