Reply to: Contract - Early Termination

[RichardCranium]

I have just started what i thought was a 6 month contract...

However, on starting the contract the client has informed me that it is a 3 month contract

Have a look in the Independent or Gruadain or Times at senior-ish local government jobs. Many of them will say 12 or 24 month fixed term. They are permie jobs on permie pay with contractor's benefits (i.e. none!)

But ... and this is the really tulipty bit ... those roles are often really only for three or six months.

They are recruiting someone to fix a broken department, close facilities, do redundancies or some other nasty work. Once complete, they will be dismissed. Rather than pay £2k per day for a good interim manager, they'll take a middle-management hopeful on £40k and rip them off.

Nasty business, innit? And that's in the permie world. At least as a contractor you're prepared and paid for that kind of unpredictability ... or should be since you're running a business.

[pmeswani]

I've been contracting for 10 years. 90% all good. But in that time I've been told by an agency they are taking 10% commission but discovered they were taking 25%. An agency accepted a job I declined and I had to write letter to the (important) client explaining why I wasn't taking the role they thought I had accepted. I've had my CV modified by an agency without my knowledge. I've had my CV sent out without my agreement. The weirdest by far was getting a call saying I had passed the interview with flying colours and they wanted to make me an offer even though I was on holiday, mid contract and had never heard of the agency or the client. I've been told I will never work in the city again if I don't accept a contract. I've been told one rate but at the interview it is clear the client would never pay that much. Had my 'referees' harrassed by agencies. I could go on and on all day ....

This is the game. Take what you are told with a pinch of salt. Know your worth and don't undersell yourself. Don't trust anything that is not in writing and don't assume you will last the length of your contract.

That said .... I love contracting and would have to be dragged kicking and screaming into a permanent role.

Most of what you have said I have come to expect in Permie Roles. I haven't had my referees harrassed (as far as I know), haven't been told that I would never work in the city again but one of my managers in one of my previous employment told me that I would never work in IT again... and this was at the point he was made redundant for screwing up several things more times than the Western World has had hot dinners.

I understand where you are coming from....

[Lewis]

Thanks. I am sure I'll live and learn.

I've been contracting for 10 years. 90% all good. But in that time I've been told by an agency they are taking 10% commission but discovered they were taking 25%. An agency accepted a job I declined and I had to write letter to the (important) client explaining why I wasn't taking the role they thought I had accepted. I've had my CV modified by an agency without my knowledge. I've had my CV sent out without my agreement. The weirdest by far was getting a call saying I had passed the interview with flying colours and they wanted to make me an offer even though I was on holiday, mid contract and had never heard of the agency or the client. I've been told I will never work in the city again if I don't accept a contract. I've been told one rate but at the interview it is clear the client would never pay that much. Had my 'referees' harrassed by agencies. I could go on and on all day ....

This is the game. Take what you are told with a pinch of salt. Know your worth and don't undersell yourself. Don't trust anything that is not in writing and don't assume you will last the length of your contract.

That said .... I love contracting and would have to be dragged kicking and screaming into a permanent role.

[expat]

This subject winds me up and some of us are at odds on what out response should be.

I base my rate on a number of things, term of contract being one of them. I am cheaper for a 12 monther than a 6, 6 than a 3 and so on down to being very expensive for 1 day. Much of this is based on set up costs and expected losses on rent and travel.

I have wondered about that: many agents plug a long contract as an advantage that offsets a lower rate (I do contracting for variety so I'm happy with change; and I see a long one as being locked in to a lower rate for longer).

But it is true that there are setup and wind-down costs: the first few flights cost more because you have less notice; hotels cost more until you do the research in situ; you are liable to end up with some costs at the end paid but not used. So maybe I should put a premium price on shorter contracts.

[sammy]

but the contract stated Robin Reliant! as contractors we are assumed to have taken legal advice - we are not talking consumer law here.

Sometimes I agree with Mal that certain contractors give the rest of us a bad name.

The contract didn't state Robin Reliant it actually says 6 months. 3 months wasn't mentioned until I started work yesterday and the client told me it was only 3 months.

I was in a permanent job and I only accepted the contract because it was 6 months, because it wasn't worth it for only 3 months.

Does going permanent with a client break the clause in the agency contract that says you can't work for the client directly within 6 months of the contract ending?

[pmeswani]

Welcome to contracting!

Thanks. I am sure I'll live and learn.

[Lewis]

but the agency has acted inappropriately (and possibly illegally).

Welcome to contracting!

[The Lone Gunman]

This subject winds me up and some of us are at odds on what out response should be.

I base my rate on a number of things, term of contract being one of them. I am cheaper for a 12 monther than a 6, 6 than a 3 and so on down to being very expensive for 1 day. Much of this is based on set up costs and expected losses on rent and travel.

I think it is reasonable to require some sort of compensation clause for early termination, but that gets us into MOO problems with IR35.

[BrilloPad]

I agree with what you are saying in most parts. However, the agency has misrepresented the client here. I know one can leave and move on and the notice period is the only thing is guaranteed... but you wouldn't buy a Merc only to have delivered a Del-Boy Robin Reliant and say "I'll live with it". For all we know, the original poster may have turned down a longer term contract in favour of the one he is in now under false pretence (sp?) from the agency. I suppose taking legal action will not change the circumstances of the fact that the contractor will only be able to carry out 3 months maximum, but the agency has acted inappropriately (and possibly illegally).

but the contract stated Robin Reliant! as contractors we are assumed to have taken legal advice - we are not talking consumer law here.

Sometimes I agree with Mal that certain contractors give the rest of us a bad name.

[pmeswani]

This is what contracting is like. Just move on. People get given notice here all the time. Often work load is given as a reason but in actual fact the client is not happy with work and/or personality of the contractor but it is easier to say there is no more work or priorities have changed. Also people chose to leave here often. The bank doesn't say "Why did you agree to a 6 month contract and then leave after 3? We're going to seek legal advice". They wish them well and that is it. The contract length means nothing. You can only be guaranteed your notice period.

Legal action will get nowhere and just cause stress all round. Just go and get another contract and forget about it.

I agree with what you are saying in most parts. However, the agency has misrepresented the client here. I know one can leave and move on and the notice period is the only thing is guaranteed... but you wouldn't buy a Merc only to have delivered a Del-Boy Robin Reliant and say "I'll live with it". For all we know, the original poster may have turned down a longer term contract in favour of the one he is in now under false pretence (sp?) from the agency. I suppose taking legal action will not change the circumstances of the fact that the contractor will only be able to carry out 3 months maximum, but the agency has acted inappropriately (and possibly illegally).

[Lewis]

Get the client to put it in writing. Print it off and send it to the agency by post asking them to explain why they offered you a 6 month contract when you have been informed it will be a 3 month contract. If you cannot resolve your issue with the agency, seek legal advice and if necessary sue for being in breach of contract. Tell the client of the situation (if appropriate) so that they won't deal with the agency again.

Just out of interest, does the contract offer you the choice of terminating the contract or is it client side only?

This is what contracting is like. Just move on. People get given notice here all the time. Often work load is given as a reason but in actual fact the client is not happy with work and/or personality of the contractor but it is easier to say there is no more work or priorities have changed. Also people chose to leave here often. The bank doesn't say "Why did you agree to a 6 month contract and then leave after 3? We're going to seek legal advice". They wish them well and that is it. The contract length means nothing. You can only be guaranteed your notice period.

Legal action will get nowhere and just cause stress all round. Just go and get another contract and forget about it.

[sammy]

thanks for your reply.
it says this in the contract, which i think means that i can terminate if they breached the contract, but i can't terminate it just because I don't want to work there anymore.

Notwithstanding the provisions of Sub-clause (a) hereof, either party may terminate this Agreement forthwith:-

(i) Should the other fail to rectify any breach of this Agreement within 14 days after being given written notice of such breach; or
(ii) Should the other party become insolvent or bankrupt or enter into liquidation; or
(iii) Should either party become unable to perform the Agreement because of an event of ‘force majeure’.

[pmeswani]

Hi
I have just started what i thought was a 6 month contract. The client originally offered a 3 month contract, which I turned down. They then changed it to 6 months, which I agreed to and have since signed a contract with the agency for 6 months.

However, on starting the contract the client has informed me that it is a 3 month contract and then they will either renegotiate the contract or have me go permanent after this time. I don't want to go permanent as the wages would be a lot lower than what I was on in the job that I left. I only accepted the contract because it was 6 months.

I guess there is nothing that I can do as they could get rid of me next week if they wanted to anyway.

If the agency mislead me into thinking that the contract was 6 months when it was only 3 is there anything I can do?

Get the client to put it in writing. Print it off and send it to the agency by post asking them to explain why they offered you a 6 month contract when you have been informed it will be a 3 month contract. If you cannot resolve your issue with the agency, seek legal advice and if necessary sue for being in breach of contract. Tell the client of the situation (if appropriate) so that they won't deal with the agency again.

Just out of interest, does the contract offer you the choice of terminating the contract or is it client side only?

[Not So Wise]

If the client had no intension of going the full length of the contract when they signed there would be some legal recourse, but you would need hard documented proof of this and honestly it would not be worth the hassle

[BrilloPad]

Hi
I have just started what i thought was a 6 month contract. The client originally offered a 3 month contract, which I turned down. They then changed it to 6 months, which I agreed to and have since signed a contract with the agency for 6 months.

However, on starting the contract the client has informed me that it is a 3 month contract and then they will either renegotiate the contract or have me go permanent after this time. I don't want to go permanent as the wages would be a lot lower than what I was on in the job that I left. I only accepted the contract because it was 6 months.

I guess there is nothing that I can do as they could get rid of me next week if they wanted to anyway.

If the agency mislead me into thinking that the contract was 6 months when it was only 3 is there anything I can do?

You could go to court claiming that the agent is a lieing cheating slime-ball. But they will say "they are behaving as expected".