Legal Question in Business Law in California
Non-payment for work performed
I am a production artist. I produced a catalog for a firm to their design. The process includes submitting a paper proof at three stages along the way, for the client's rep to mark up for changes or correction. An invoice for that section of work is submitted by me at the same time. After submitting the last revision, the client is claiming that I did not perform ''the majority'' of the marked-up edits, which is absurd. They have refused payment on the pertinant invoice, in full or in part. I have offered to review the proof and troubleshoot whatever problem they think they see, and to negotiate a penalty against my invoice if, by some strange chance, there is a problem and it's my fault. but they are now refusing to return the proofs to me, so I have no way to verify their claim of a 'problem.'
What are my options here? I have the only copies of the electronic layout files in my possession, and it occurs to me to keep possession of the files until they either make payment, or allow me to review the problem and negotiate a solution. Ultimately, I will probably end up refusing further work by this client, based upon this event and the way they're handling it, but the invoice involved is substantial and I'd like to collect upon it
3 Answers from Attorneys
Re: Non-payment for work performed
The answer is obvious: if they don't pay you, you have a right to sue. You'll have to prove your case. I suggest you first try to negotiate a resolution; use an attorney unless you can do so professionally on your own. However, if the amount in question is less than $7500, you can file in small claims court. Beyond that, do hire an attorney. Feel free to contact me if that ends up happening, if the acase is in SoCal.
Re: Non-payment for work performed
Depending upon the amount involved you should hire a lawyer to sue them. Did you have a written contract?
Did the contract have an attorney's fee provision? Have you met all of your requirements under the contract?
Caleb
Re: Non-payment for work performed
You should have a lawyer draft a demand letter to see if that will get negotiations going. The letter would also demand to see the proofs. In the event they don't produce the proofs, you can argue that they don't have a sincere defense and that they are just creating excuses to not pay your invoice.
Just so you know, nearly 100% of the time, when someone doesn't want to pay an invoice, for whatever reason, they all make the same excuse: inadequate services.
We have filed several lawsuits for money owed. In your case, the amount of your invoice should dictate your decision on how to proceed. In any case, however, I would still have the demand letter prepared and sent.
I would also like to know more about what you do to evaluate whether you have some sort of copyright protection in your work product. If so, you would have added leverage in your claim.
Feel free to call or email with any questions or answers to my questions.
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