Unpaid invoice liability

[Bluebird]

thanks all.
one more question,
if I leave the brollie, get my p45, and start a new job, but still have outstanding invoices, what happens then? when the invoices are paid will tax still be correctly deducted, will I still be able to try claim from the brollie in the event the invoices dont get paid, will they still care about chasing up on the payment?

You'll only get your p45 after all the invoices have been paid, or if you get your p45 before it will be based on the invoice raised and assume that payment will be made.

If for any reason the client doesn't pay the invoice then your brolly should chase them for that, if the client goes bust or something then I guess the brolly may "recalculate" the amount due to you and the tax could be adjusted.

[contractorNoob]

thanks all.
one more question,
if I leave the brollie, get my p45, and start a new job, but still have outstanding invoices, what happens then? when the invoices are paid will tax still be correctly deducted, will I still be able to try claim from the brollie in the event the invoices dont get paid, will they still care about chasing up on the payment?

[VectraMan]

Last time I used a brolly ( a long time ago), it had a clause about me being a commission only employee...

Me too, but I think things are different now and they have to at least pay minimum wage, which at least is some incentive for them to fight it. It's unlikely they'd be stupid enough to have to pay you the full amount even if they hadn't been paid, and I bet there's some loophole that allows them to work out the minimum wage payment including what you've already been paid.

My June invoice is also 27 days late. But as a Ltd. I can deal with the issue myself. Another good reason to go Ltd.

[ratewhore]

Last time I used a brolly ( a long time ago), it had a clause about me being a commission only employee...

[contractorNoob]

thanks for the speedy responses.
I've just read the Terms and Conditions of Employment, and the only relevant lines I can find state that
"3.1 Whilst on Assignment, you will be entitled to be paid for the hours that you work at the Pay Rate..."
and
"Payment will be made as agreed in your Assignment, for example either weekly or monthly in arrears " which states I will be paid monthly.

It doesnt go into any detail about what part of the payment will be paid, or what happens in the event of the contract between the Company and the Client being broken.

Do the above extracts mean that I am owed all remuneration that is due? Even if the client doesnt pay the company?

[NotAllThere]

It depends on what your contract with the brolly says. If it says, e.g., minimum wage + bonus based on what you earned for the brolly, and that the bonus isn't paid until the money has been received by the brolly, then all you're entitled to is minimum wage.

As I've said before, with brollies they don't quite have the same incentive to chase debts as you do, because usually all that's at risk for them is the agreed salary, and possibly losing you as a customer.

[Bluebird]

your contract of employment is with the brolly - they should pay you whatever happens with the client - unless of course there is a condition in your contract with them - check it out asap.

[contractorNoob]

Hi all
I'm new to contracting in London, and have a question regarding unpaid invoices. I'm with a respectable umbrella company, who I have no complaints with. The company I'm doing work for is having financial problems, and I have 2 unpaid invoices. The client has 30 days to pay an invoice after receiving it, and the one invoice (June) is now 27 days overdue.
They have been sent 7 days notice by my umbrella, and are now being sent court proceedings, but I'd just like to know where the liability lies in the event that the client gets liquidated, or doesnt pay for whatever reason.
I am an employee of the umbrella, so am I covered for work that I've done? I cant take any action against the client, as they have a contract with the umbrella to pay within 30 days of receiving an invoice. That contract has now been broken, so the umbrella has to fight for the money, but where do I stand?
Under the Employment Rights Act, does the umbrella have to pay me for work I've done? And then fight it out with the client in the event of non payment?

Any info or advice would be greatly appreciated.
Thanks