Reply to: Contract signed but terminated before start

[JMGB]

Proper Stitch up

Esteemed colleagues; I am new to this site and quite new to contracting so bear with me pu-leese. Colleague and I had our 3 month contracts extended 2 weeks ago for one year which was a pleasant and joyful surprise. All duly signed off between my company and my agency. However it seems the client firm never had any intention of honouring this contract and it was created as a ruse so that the IT department - told to make cut backs in staff numbers - could then say OK - here are 2 headcounts (contracts for one year) - which we'll now cancel - to save permies from getting the chop. Creative accounting if you will - thereby not actually reducing their headcount at all. So here now till possibly end of May - and working away as faithfully as ever of course.
Don't get me wrong now; I'm a contractor - 'dis is da life we have chosen'; but does this not constitute a fraudulent and specifically a Major Breach of Contract?? It's not as if anything's changed per se - we have been put up for slaughter, lied to and betrayed. Encouraged to take some leave now that we have a year (by line managers not in the know) purchasing bottles of Krug on signing etc etc. Worth suing for? I thank you!

[gingerjedi]

IMO agencies have always been sharks.

I'm seeing lots of jobs advertised for recruitment agents. WTF is that all about???

Have too many rats deserted the sinking ship?

[BrilloPad]

They even forwarded me the emails from Enron to show they weren't fibbing. In those days contractors with my skillset were greatly in demand, and agencies hadn't all been taken over by dodgy second-hand car salesmen.

IMO agencies have always been sharks.

[NotAllThere]

They even forwarded me the emails from Enron to show they weren't fibbing. In those days contractors with my skillset were greatly in demand, and agencies hadn't all been taken over by dodgy second-hand car salesmen.

[jmo21]

Back in 1998 I was offered a contract with Enron through McGregor Boyle. The start of the contract was delayed a week. Then the following Monday it was cancelled. McGregor Boyle got one week's fees from Enron, and I got one week's fees from McGregor Boyle. The next day I started a contract elsewhere for more money.

I amazed the agency told you!!

[expat]

Is that the sound of Mal turning in his grave?

I fall within the camp that says that if you don't do any work, then you don't invoice.

It might sound unfair, but it is one of the reasons that contractors charge a premium. The clients do pay for the flexibility in the end.

If you are going to have notice periods what next? Sick Pay? Holiday Pay? You might as well go permie.

That's right. If you are not being paid a premium for all the downsides of contracting, then you are not being paid enough.

[AtW]

Payment to the consultant by the agency is typically contingent upon (1) the engagement having been started, and (2) payment by the client to the agency.

If contact has got starting date then notice can be given from that date unless contract states that it can be broken up without any notice before starting date - IANAL obviously but contract law is fairly straightforward, it's just most people choose not to defend their interests.

[NotAllThere]

Back in 1998 I was offered a contract with Enron through McGregor Boyle. The start of the contract was delayed a week. Then the following Monday it was cancelled. McGregor Boyle got one week's fees from Enron, and I got one week's fees from McGregor Boyle. The next day I started a contract elsewhere for more money.

[tino]

Is that the sound of Mal turning in his grave?

I fall within the camp that says that if you don't do any work, then you don't invoice.

It might sound unfair, but it is one of the reasons that contractors charge a premium. The clients do pay for the flexibility in the end.

If you are going to have notice periods what next? Sick Pay? Holiday Pay? You might as well go permie.

"turn up on site"

the working is entirely optional

[Not So Wise]

Payment to the consultant by the agency is typically contingent upon (1) the engagement having been started, and (2) payment by the client to the agency.

Point 2 is irrelevant unless you signed a very bad contract and are opted out

[thelace]

tulip happens, tell him to move on and don't dwell on it!

[Gonzo]

Is that the sound of Mal turning in his grave?

I fall within the camp that says that if you don't do any work, then you don't invoice.

It might sound unfair, but it is one of the reasons that contractors charge a premium. The clients do pay for the flexibility in the end.

If you are going to have notice periods what next? Sick Pay? Holiday Pay? You might as well go permie.

[EternalOptimist]

Gotta say that sounds a bit naive and unbusinesslike Sally, at least the "for whatever reason" clause.

A contract expresses mutual commitment, for planning purposes if nothing else, in that you'll be available for work and not suddenly phone the client one morning, just before some crucial software delivery is due, to say you won't be turning up again because you found another contract with a better rate.

Once both parties have signed a contract, assuming full-time attendance at the client, i.e. the usual "BOS" type, it's reasonable to stop looking for other contracts for a while (or maybe not if this situation is anything to go by?!). And what about that guy above who bought plane tickets and booked hotels?

Of course it depends on the wording - If all the commitment is on the contractor's side, and the contract allows the client to cancel the contract at any time, for any reason or none, with zero notice, then fair enough. But the OP mentioned a week's notice.

What you say is true if you are dealing direct with the client. It becomes more problematic when going through a third party, that gives the agency their chance to screw up.
Notice is not a weeks free money, you work the week and get paid for it. As a contractor, if I give a weeks notice, I dont work it for free

[OwlHoot]

Hmm - most of my contracts say that my company gets paid an agreed daily rate from the agency on working of a professional day of blah hours. With an accompanied signed timesheet.
That's what I get paid for.

You can't expect to get paid by your agency if you haven't turned up to work (for whatever reason).

The agencies contract with the client probably says something like they get paid if the work goes ahead, the contractor turns up, and they are allowed to do the work. Something like that.

Gotta say that sounds a bit naive and unbusinesslike Sally, at least the "for whatever reason" clause.

A contract expresses mutual commitment, for planning purposes if nothing else, in that you'll be available for work and not suddenly phone the client one morning, just before some crucial software delivery is due, to say you won't be turning up again because you found another contract with a better rate.

Once both parties have signed a contract, assuming full-time attendance at the client, i.e. the usual "BOS" type, it's reasonable to stop looking for other contracts for a while (or maybe not if this situation is anything to go by?!). And what about that guy above who bought plane tickets and booked hotels?

Of course it depends on the wording - If all the commitment is on the contractor's side, and the contract allows the client to cancel the contract at any time, for any reason or none, with zero notice, then fair enough. But the OP mentioned a week's notice.

[chef]

Hmm - most of my contracts say that my company gets paid an agreed daily rate from the agency on working of a professional day of blah hours. With an accompanied signed timesheet.
That's what I get paid for.

You can't expect to get paid by your agency if you haven't turned up to work (for whatever reason).

The agencies contract with the client probably says something like they get paid if the work goes ahead, the contractor turns up, and they are allowed to do the work. Something like that.

yup I agree with SA totally, that's the tulipe side of contracting i'm afraid, take it on the chin and move on..