Reply to: Agency won't reimburse expenses

[ComplianceLady]

It sounds as though regular travelling is part of the project so this surely would have been discussed between the client and agency. If the agency think you're paying and put in the contract that they're paying that is a monumental mistake. I'd be VERY surprised if they have a contract clause that is that broad. What if you chose to travel 1st class and drink the mini-bar dry. For them to accidentally agree to paying all travel expenses is odd. Could you post the clause that covers it?

I don't think it's even raised with the client. The client has agreed in a fixed man days contract to start with. So maybe the agency doesn't want to charge them extra? I don't know..

[Lance]

Not sure why they should accept that. We made agreement (informal, but there is written evidence) between agent, client and me that the travel expenses to be paid directly. It is not voiding "supply of services" restriction clause of the main contract.

Your expenses are already a 'supply of services'. The fact you charge VAT is evidence of that.

So they have accepted that clause does not count. You could just as easily add your day rate onto your expenses invoice and I very much doubt that the agency could do a damn thing about it. They might argue and shout/scream but legally they've shot themselves in the foot.

[Sub]

Zero additional effort? Erm.. no.

I still need to provide receipts to prove expenses, fill the expense report and I still need to send separate expense invoice - either to agent or to customer directly. I did it either way, no difference really as soon as it is being paid.

There is one additional one, however - I need to create separate project in the FA for expenses for that specific gig .

[northernladuk]

I don't really care about their excuse, there is zero additional effort for me to invoice that directly.

Zero additional effort? Erm.. no.

[Sub]

You know that's complete bollocks don't you?

I don't really care about their excuse, there is zero additional effort for me to invoice that directly.

[northernladuk]

They asked me to do so after first month. They just had not enough skills to do that properly.

You know that's complete bollocks don't you?

Agent just decided that it is too much hassle for them to be in the middle for the expenses

That's disgraceful. They take money from the client for managing you as a contractor to then not carry out their responsibility off a very standard and simple process is well out of order.

IMO if you are so pally with the client to be able to invoice directly I'd make steps to find out how much the client is paying the agent and squeeze his margin at next renewal. Bearing in mind the client is having to carry out extra work that they are paying the agent for I'm sure they won't mind telling you what they pay.

[Sub]

wow.
So when you bypass them and go direct to the client, that's with the agency already accepting that you can.

Not sure why they should accept that. We made agreement (informal, but there is written evidence) between agent, client and me that the travel expenses to be paid directly. It is not voiding "supply of services" restriction clause of the main contract.

[Lance]

They asked me to do so after first month. They just had not enough skills to do that properly.

wow.
So when you bypass them and go direct to the client, that's with the agency already accepting that you can.

[Sub]

and the agency were OK with you breaching your contract by invoicing the client directly? Or did they not know?

They asked me to do so after first month. They just had not enough skills to do that properly.

[Lance]

Talk with the client about it ASAP and maybe they will agree to reimburse expenses directly. I did it for one of my gigs, invoiced agency for my time and client directly for the expenses. Agent just decided that it is too much hassle for them to be in the middle for the expenses . However, there was no question about me paying these out of pocket - that was only question on how it will be paid.

In your situation I wouldn't make a trip unless either agent or client confirm they will pay expenses (even the contract clause is there, as they already challenging it I would seek for another confirmation) - but it is just my view.

and the agency were OK with you breaching your contract by invoicing the client directly? Or did they not know?

[Sub]

Talk with the client about it ASAP and maybe they will agree to reimburse expenses directly. I did it for one of my gigs, invoiced agency for my time and client directly for the expenses. Agent just decided that it is too much hassle for them to be in the middle for the expenses . However, there was no question about me paying these out of pocket - that was only question on how it will be paid.

In your situation I wouldn't make a trip unless either agent or client confirm they will pay expenses (even the contract clause is there, as they already challenging it I would seek for another confirmation) - but it is just my view.

[psychocandy]

I'm with most people on here. If its in the contact then tough luck, the agency can't moan about it later when they realise someone screwed up.

I'd go, send the expenses in and wait and see what happens. If they won't pay it, take it further.

Depends on your relationship with client - have a word with them. They'll be on your side if you can show them the agency are now trying to wriggle out of something they agreed. Especially if agency start replacing the contract and making things awkward for you and risking your future there. Only if client likes you of course.

[Old Greg]

If the contract says they pay expenses, then the agency pay expenses. Simple as.

eg you accept and sign the contract because you're working 20 minutes from home, next thing they want to send to you London to work which includes hotels, trains, taxis, oyster, food costs etc.....they should cover those expenses if it's outside the office or location you normally work.

G

Exactly. Invoice for the expenses and take it from there.

[dx4100]

This is quite funny. You should be having some fun with this one.

Contract says they pay - they pay.... Its pretty standard that a contract specifies expenses beyond travel to the companies main place of work can be claimed.

The rest is just noise....

Let the client know what is going on - they won't be happy - and they won't be happy they might lose a good contractor.

No way do you take this on the chin.

[garethevans1986]

If the contract says they pay expenses, then the agency pay expenses. Simple as.

eg you accept and sign the contract because you're working 20 minutes from home, next thing they want to send to you London to work which includes hotels, trains, taxis, oyster, food costs etc.....they should cover those expenses if it's outside the office or location you normally work.

G