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Can I sue them?

Mishomeister
Posts: 1,081 Forumite


Sorry if this is not correct board and feel free to move it to the right one.
Me, as a LTD company (One man band) have been subcontracting for another company, lets call it Alfa LTD for a number of years.
When providing my services for the clients ir would be working under the principle of me representing the Alfa LTD.
I have provided a service to the client, lets call him Mr A.
He has disputed the quality of service and has offered Alfa LTD to pay only proportion of the fees agreed.
My remuneration is a % of the fees paid by the clients. I get no monthly guaranteed money etc.
There is only the name of the Alfa LTD on the contract with the client.
The whole issue is still being investigated by Alfa LTD but if they decide to settle for the lower fee with the Mr A and as a result I get paid significantly less, can I sue Mr A for the difference?
Or can I only sue Alfa LTD which I would not be willing to do as regardless of the outcome they will terminate my contract which they can at any time for me suing them
Me, as a LTD company (One man band) have been subcontracting for another company, lets call it Alfa LTD for a number of years.
When providing my services for the clients ir would be working under the principle of me representing the Alfa LTD.
I have provided a service to the client, lets call him Mr A.
He has disputed the quality of service and has offered Alfa LTD to pay only proportion of the fees agreed.
My remuneration is a % of the fees paid by the clients. I get no monthly guaranteed money etc.
There is only the name of the Alfa LTD on the contract with the client.
The whole issue is still being investigated by Alfa LTD but if they decide to settle for the lower fee with the Mr A and as a result I get paid significantly less, can I sue Mr A for the difference?
Or can I only sue Alfa LTD which I would not be willing to do as regardless of the outcome they will terminate my contract which they can at any time for me suing them
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Comments
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Surely the first thing is to establish whether there is an issue with the quality of service. And then what your contract with Alfa Ltd says about the required level of quality that you should be providing.
You have no direct contractual relationship with Mr A - you can only sue Alfa Ltd for any losses, but that would depend on your contract with them. It's also about whether you want to maintain your working relationship with them, and them with you.0 -
That depends entirely on the set up between you and alfa and alfa and Mr A.
But from what you've said, it sounds like you're acting as a contractor for them rather than them acting as an agent for you. In which case whatever restitution is agreed with Mr A will be determined by the contract they have with him and whatever restitution is agreed with you will be determined by the contract they have with you.
Read your contract very carefully and check the wording. Are you being paid a % of the contract price, or a % of the remuneration received?
They can assign their right (for payment) to a third party (you) but cannot assign their obligations. So they remain liable to Mr A. Whether you are then liable to the company will depend on your terms with them.You keep using that word. I do not think it means what you think it means - Inigo Montoya, The Princess Bride0 -
Mishomeister wrote: »Sorry if this is not correct board and feel free to move it to the right one.
Me, as a LTD company (One man band) have been subcontracting for another company, lets call it Alfa LTD for a number of years.
When providing my services for the clients ir would be working under the principle of me representing the Alfa LTD.
I have provided a service to the client, lets call him Mr A.
He has disputed the quality of service and has offered Alfa LTD to pay only proportion of the fees agreed.
My remuneration is a % of the fees paid by the clients. I get no monthly guaranteed money etc.
There is only the name of the Alfa LTD on the contract with the client.
The whole issue is still being investigated by Alfa LTD but if they decide to settle for the lower fee with the Mr A and as a result I get paid significantly less, can I sue Mr A for the difference?
Or can I only sue Alfa LTD which I would not be willing to do as regardless of the outcome they will terminate my contract which they can at any time for me suing them
You can bring a claim against anyone you wish.
But I don't understand on what possible basis you consider you could possibly succeed.
If I understand you correctly, you have no contract with Mr A.
Again, if I understanmd you correctly, the contractual agreements are as follows.
You have a contractual agreement with your ltd company.
Your ltd company has a contractual agreement with Alfa ltd
Alfa Ltd has a contractual agreement with Mr A.
Indeed, you even admit that you "get no monthly guaranteed money etc.", so on what possible basis are you going to claim anything, and if so how can you against anyone who you do not have a existing contractual agreement with?
Any possible claim in which you could possibly succeed would be against your ltd company.
Any possible claim in which your ltd company could possibly succeed would be against Alfa Ltd.
All as per the contractual agreements in place, as far as I understand you.0 -
Is the contract between Alfa Ltd and the customer (Option 1)?
Or is the contract between you and the customer, on the basis that you have subcontracted performance of the contract to Alfa Ltd? (Option 2)?
If Option 1, you have no contract with the customer. So you cannot sue the customer for unpaid fees. You could only sue Alfa Ltd if Alfa Ltd has breached the terms of its contract with you.
If Option 2, you could sue the customer for unpaid fees, but you are also legally liable for the quality of the work.0
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