Reply to: Agency witholding funds and threatening to go insolvent

[barely_pointless]

Not at all, particularly if it is a large amount.

Contact Safe Collections - they are best placed to suggest how to proceed.

fair enough, as I don't know the OP's circumstances nor appetite for a barney or what their war chest is like, but this could drag for months/years and if they(the Pimp's) go insolvent this will grind to a halt, and be put in a backlog (no not the sprint kind, the civil debt/register kind) in court and yawn, I'm almost falling asleep thinking about this and what the OP will have to do, or indeed those unfortunate safe collection people, they'll have to apply for a statement of claim and loss, have it assessed and wait in queue with other larger creditors (i.e. banks, who will use william shatner from boston legal or a similar to work through it) anyway , you get where I'm going. I don't wish to be adversarial and will settle outside of court for any amount, including equity on humiliation

I do know however what legal barriers and delaying tactics and debt collection/hassle can cumulatively wear on the OP, from my experience it's (assuming it's not a very large amount, say 30-50K) better to go for certainty than uncertainty, given the current situation, the agency/Nonce's/pimps are very likely to bring into play the COVID card, thereby reducing the effectiveness of safe collections, or at least delaying them. Safe collections may or may not have a huge backlog and once the pimp's figure out that they can delay, they will that is the only certainty I can predict.

you honour, my credentials 3 years contractor in criminal courts (serious crime - lol) , 2 years in civil litigation, and yes, before you ask, there is a real Lionel Hutz, he exists, I saw him in court and even googled the "surprise witnesses" from the simpsons for Judge when she asked.

I also have a selfie from the seat that the Lehmans nonce sat in at a major law firm and announced OOPs and triggered the first global financial crisis.......

[Old Greg]

Technically the umbrella company, as your employer should be dealing with this.

Not at all, particularly if it is a large amount.

Contact Safe Collections - they are best placed to suggest how to proceed.

Tricky though, given Andy's comment. It's one of the things that most bothers me with the concept of brollies. I always like to know who I can sue for non-payment.

[cojak]

there is your answer, take the 65% and put the 35% down to experience and back luck/adverse ambient conditions

Not at all, particularly if it is a large amount.

Contact Safe Collections - they are best placed to suggest how to proceed.

[Paralytic]

...and cut down to peanuts... literally...

Off topic, and I know we live in weird times, but I very much doubt that was the case.

[Southernest]

Ah well... 1) Hindsight is a great thing, but difficult to see what the future holds when you have been happily 'working' with the same Agent for nay 10y. 2) it was already very difficult for me to extract myself out of that structure in Dec. 19 when I did it, never mind before as, unbeknownst to me, their contract had been re-negotiated with the Administrative Agent shielding my end client and cut down to peanuts... literally... 3) that Administrative Agent had agreed some selection criteria which, at the time of the issue became serious, made it impossible for me to change structure aka rock and hard place.

A bit late but you should have cut and run at the first sign of late payment. And I'd say that still applies if you are still working through that agency. You've just got to hope they are still collecting money from enough mugs elsewhere. Call in the money collection outfits and see if they can apply the correct pressure to get them to pay you off.

[Southernest]

IPSE and ACAS, it's all very much a minefield.. both are pointing to one another and none taking the responsibility to help. 'Covered' by an umbrella I am both considered to be Employed and Self Employed, depending on what angle you take (tax or working status), which is another brick for the IR35 Wall of Lamentations... unintended or ignored result of the Regulation.

HMRC could get involved but would only seek to recoup minimum wage (why???).

Department of Work could get involved in certain conditions - linked to Regulation 32 - but again, they could threaten, but wouldn't have any teeth to force a decision.

I have also contacted the FSCA but as the Agency is not a member, they are not interested, neither did they reply when I pointed to them that the Industry was a vipers' nest, completely deregulated and borderline fraudulent with Big Boys running what can only be described as a cartel.

Finally, the main issue with contracting a Debt Collector is that it makes it all very official and nasty plus would probably cost me the 35% of the invoice, so would really be back to square 1.

[barely_pointless]

I am no longer working for the client and from Dec. 19, I switched structure, so yes, Nov 19 is the last invoice to be paid.

there is your answer, take the 65% and put the 35% down to experience and back luck/adverse ambient conditions

[Southernest]

I am no longer working for the client and from Dec. 19, I switched structure, so yes, Nov 19 is the last invoice to be paid.

Are you still working for the client/agent? Have you been paid for Jan20-May20??

Is it only Nov19 you are waiting for?

[Andy Hallett]

Technically the umbrella company, as your employer should be dealing with this.

[BlasterBates]

It sounds like the agency is about to go bankrupt. Contact Safe Collections. The company seems to have a plan to pay off their debts by getting some of their contractors to take a cut to be paid off and paying off the other contractors over time. An experienced debt collector will be able to make well judged decision on this.

[fidot]

Are you covered by IPSe?

[rootsnall]

A bit late but you should have cut and run at the first sign of late payment. And I'd say that still applies if you are still working through that agency. You've just got to hope they are still collecting money from enough mugs elsewhere. Call in the money collection outfits and see if they can apply the correct pressure to get them to pay you off.

[jmo21]

Until a couple of month ago, despite many promises, I was still owed monies due on invoices for Oct 19, Nov 19 and Dec 19. Eventually Oct and Dec were paid (Nov was the highest).

And on basis that I am the last Contingent Worker left from that Placement Agent, zero leverage from that corner.

Are you still working for the client/agent? Have you been paid for Jan20-May20??

Is it only Nov19 you are waiting for?

[Old Greg]

Another recommendation for safe-collections.com here. They do this all the time and know how far they can push. They're not bully boys and will explain your options to you.

One thing I learned when in a similar position is that if the agency are paying you late, they are in breach of contract so you are not bound to any terms of the contract. I'm not sure if this would apply to the contract between agency and client, but if that was void nothing would stop you from working for the client directly, so at least you can continue your work with them while sorting out this debt

That is absolutely not necessarily true.

[JoJoGabor]

Another recommendation for safe-collections.com here. They do this all the time and know how far they can push. They're not bully boys and will explain your options to you.

One thing I learned when in a similar position is that if the agency are paying you late, they are in breach of contract so you are not bound to any terms of the contract. I'm not sure if this would apply to the contract between agency and client, but if that was void nothing would stop you from working for the client directly, so at least you can continue your work with them while sorting out this debt