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Client unable/refusing to pay - am I being jibbed off?

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JibbedOff
JibbedOff Posts: 1 Newbie
edited 8 January 2016 at 11:33PM in Small biz MoneySaving
Hiya, I hate to be one of those long time lurkers and only getting involved with the forum when it's something I'm after, seems a bit selfish really. Hopefully someone can offer a bit of advice as I'm starting to feel as if I'm in the wrong now.

Approx 3 years ago I was self-employed running cabaret events and 'hiring out' performers to other clients. One client in particular was booked for a full night's launch party for her clothing business, with about five performers and me organising them. An invoice and written agreement was sent over, and while nothing was signed (I know, I know, oh bloodyhell I know) on the night of the event I was told that we would meet up a few days later and I could collect the fee.

All the performers who needed paying were paid out of my own account, while I waited...and waited for payment off the client.

Whizz forward a while and it then turns out that she's recently been made bankrupt. She emailed me to say that she would still honour our agreement though and the money will be paid.

This has been ongoing, with her giving excuses time and again as to how she is unable to pay just yet, but will pay eventually, even asking for a copy of the invoice (for about the third time)and my bank details, sayingthat she is setting cash aside each week or so in order to pay me. So I didn't hassle her as I wasn't deperate for the money (by then I had ceased trading and gone into employment) and as she said she was putting money aside I would be expecting it within the next few months.
THEN, she tells me that in fact, she doesnt have to pay me anything as all her debts were wiped out with the bankruptcy...which yes, fair enough, but is her previous promise of her saying she'd pay me anyway enough to counteract this and now take it to small claims?
And even so, would I be eligible to claim as I'm not trading anymore?
The amount is approx £400

Thanks for your time, I really do appreciate any advice

Comments

  • HappyMJ
    HappyMJ Posts: 21,115 Forumite
    10,000 Posts Combo Breaker
    I would check with the Individual Insolvency Register to see whether she has actually been made bankrupt or not.

    If she has then yes her debts have been wiped with the bankruptcy and you have a claim on whatever the OR was able to collect from her....which would have most probably only been enough to cover the fees in going bankrupt.

    If she's not bankrupt then you can start a small claims case against her if you feel it's worth it.
    :footie:
    :p Regular savers earn 6% interest (HSBC, First Direct, M&S) :p Loans cost 2.9% per year (Nationwide) = FREE money. :p
  • paddyrg
    paddyrg Posts: 13,543 Forumite
    edited 9 January 2016 at 12:17PM
    Was she bankrupted before or after launching her business and contracting you? My gosh she sounds like a liability. For £400 I'd be inclined to walk away, she clearly feels no legal or moral obligation to you. I once had a client who for reasons owed me £5k for 2 years, but he was still honourable enough to see it through in drive and drabs.

    I've done some work with some pretty big bands, they will happily stand at the side of the stage and refuse to go on unless the money has been received. If you ever go back into that line, might be worth moving to that model.
  • YEOVILGOM
    YEOVILGOM Posts: 103 Forumite
    I agree with HappyMJ - check to see she is telling the truth and then make sure that the OR know you have a claim

    However, if she has put in writing to you a promise to pay after she has been made bankrupt I am sure the OR would love to see that paperwork!
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