Legal Question in Business Law in Pennsylvania
We are a small business that receives jobs from an un-named company and completes work for that company. We are not considered employees, but subcontractors. We supply photos to bid these jobs and after our bids are reviewed and are approved, we complete the work. The company is then coming back and cutting the price that they approved the work for and paying us the reduced price. This is an ongoing situation. They are our majority job supplier, but, is what they are doing legal???
-AM
1 Answer from Attorneys
Hi there,
If you contractually agree on one price, then they turn around and without good cause unilaterally reduce the payment amount, that would likely be breach of contract. As this appears to be a very important account for you, you'd probably like to keep you legal options more subtle. Rather than directly accuse the company of cheating, you might want to have an attorney sit on a discussion between you and your supplier. They attorney could (politely) make your legal position clear, letting you focus on maintaining your business relationship. Alternatively, an attorney making a call or writing a letter on your behalf can be effective, though there is a far greater chance of misinterpretation, devolving into a dispute.
Were it ever to go to could, given the facts provided you'd likely be able to get a judgment for amount remaining below the agreed upon price.
If you would like to discuss your matter further over a free and confidential phone consult, please contact me at your convenience.
Our firm offers a free consultation.
Regards,
Michael J. Duffy
Duffy Law, LLC
1-888-414-5773
www.mduffylaw.com
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