Legal Question in Business Law in Florida
Outstanding Accounts Payable
The business I work for has a client in Florida that refuses to pay for services provided (internet website development and hosting) dating back to 2005. They state that they were not invoiced in a timely manner and it is unreasonable for us to expect payment. Invoices were sent out in a late fashion but by mail and we do not have any proof that they were received. They do not dispute paying for more recent charges but want us to forego all of the charges dating back before Jan. 2006 (a sum of more than 34K).
Is there a statute of limitation to timely invoicing? Can they refuse to pay based on not receiving invoices for services that they clearly knew were being provided? What avenues do we have as a company located in Canada?
4 Answers from Attorneys
Re: Outstanding Accounts Payable
I would need to read over your contract with them, but you would either sue them in Canada or in FL to collect the unpaid debt. They knew they were using your services. So the first thing I would do is send a demand letter and then file suit if they didn't pay. I could also probably negotiate a settlement, if you wanted to avoid litigation.
Re: Outstanding Accounts Payable
The statute of Limitation in Florida has not run and you can pursue a claim against in the county of their office.
Re: Outstanding Accounts Payable
You can sue them in Florida
Re: Outstanding Accounts Payable
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Depending on how far back before January, 2006, the invoices are, you should be able to successfully sue the party for accounts stated and monies owed. It is clear that the party reaped the benefit of your services and they acknowledged the debt by making later payments.
A Florida corporation can be sued anywhere in Florida although they may request that the suit be in a convenient jurisdiction to their home county. Your agreement with them might also allow you to sue them in Canada and then domesticate the judgment in Florida after it has been obtained. Further, you might have a right for attorney's fees and court costs pursuant to Florida law. You should consult a Florida attorney to review your legal rights and obligations.
Scott R. Jay, Esq.
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