Freelancer - constructive dismissal?

glowleeper

I am a freelance developer who has recently been executing a 3-month software development project for an owner of a small business. I had no formal contract of employment, just agreement of the project over text messages.

We are two-thirds through the project, and I have delivered four fully functional proof-of-concept applications of the five required, and I've received half of the total monies agreed.

Unfortunately, my relationship with the owner has broken down.

I have tried reconciliation,  but the owner appears to be having none of it and is threatening to attempt to reclaim that they've already paid me.

Meanwhile, they've insulted me and threatened me with defamation, since we have some mutual acquaintances, for whom I also do some work. Those acquaintances are unlikely to take notice, but I can do without someone bringing my name into disrepute as it could affect future opportunities.

The money is not a massive amount. Still, it's enough, and the whole situation is hugely upsetting - I could do without being insulted and threatened! Especially as I delivered some great software during the project!

What can I do? Any advice gratefully received.

AskAsk

what has caused the row?

when my brother was asked to build software for a community centre, i told him to put in a timed turn off to the software.  like a timed licence.  when that time expires from the date of activation, you need the developer to reset it otherwise it will shut down, bye bye 

i told him to do this in case the guy who commissioned the work didn't pay him.  once he got the payment, he removed the timed bomb.  no one knew about it 

isplumm

If you are a freelance programmer then you are not employed by the company, so I don't see how constructive dismissal would work?
Have you registered as sole trader or LTD company with HMRC?
So have you got in writing what you agreed to do? Text might do I suppose - but really all this should be properly documented & signed off by parties.
I would not do what AskAsk is suggesting - what happens if you got caught? Forgetting the money for a mo, your reputation would be in tatters!
Mark

AskAsk

isplumm said:

If you are a freelance programmer then you are not employed by the company, so I don't see how constructive dismissal would work?
Have you registered as sole trader or LTD company with HMRC?
So have you got in writing what you agreed to do? Text might do I suppose - but really all this should be properly documented & signed off by parties.
I would not do what AskAsk is suggesting - what happens if you got caught? Forgetting the money for a mo, your reputation would be in tatters!
Mark

Get caught doing what? Nothing wrong with protecting your software until you are paid.  Once you are paid, you remove the licence.  Perfectly legit.

MalMonroe

I'm a freelance worker too but in a totally different area. However, I would never take on a job without having a formal and legally binding contract signed by both parties, setting out my terms and conditions as well as their expectations, time frames and, most importantly, salary. When you are self-employed, life can be very precarious, it is essential to protect yourself with a legally enforceable contract. Digital signing is perfectly acceptable. It's really no trouble. 

You won't be able to claim anything, sadly because you don't appear to have had such a contract and constructive dismissal, or any dismissal, is for contracted, salaried employees, not freelancers. 

If you have proof that you did a great job and did as the owner asked, you could try taking them to court to reclaim what they have not paid and to try to stop any defamation. But of course, that would cost you. 

You must have really upset those people, unless they are just using an argument as an excuse not to pay you and tarnish your name.

Undervalued

Constructive dismissal cases are extremely hard to win. Less than 3% succeed.

However in your situation, which you describe a "freelance", you would first have to show that you were actually by default an employee. So that is a big extra hurdle to get over first.

There are a number of tests that can be applied to establish an employee's (or otherwise) status. It is also worth noting that, under some circumstances, HMRC can take one view for tax purposes whilst an employment tribunal can take the opposite view in deciding whether to hear a claim. Neither is binding on the other.

Just because you and / or the employer / client have decided to treat it as freelance doesn't necessarily make it so.

TELLIT01

glowleeper said:

I am a freelance developer who has recently been executing a 3-month software development project for an owner of a small business. I had no formal contract of employment, just agreement of the project over text messages.

As you are working as a freelance you wouldn't have a contract of employment but you should have put in place both a contract and full functional specification of what you were to provide.  If all you have have is e-mails about the broad concept it would be difficult for either party to prove whether or not the requirements have been fulfilled.

If you have mutual contacts might one of them be willing to try to mediate?

Dox

glowleeper said:

I am a freelance developer who has recently been executing a 3-month software development project for an owner of a small business. I had no formal contract of employment, just agreement of the project over text messages.

What can I do? Any advice gratefully received.

Constructive dismissal is hugely difficult to prove and you seem to be lacking two essentials: you aren't an employee from the sound of things; and even if you are, you have under two years' service.

Depending on the amount involved, sounds like a Money Claim Online (aka small claims court): https://www.moneyclaim.gov.uk/web/mcol/welcome

glowleeper

You must have really upset those people, unless they are just using an argument as an excuse not to pay you

Sadly, I think that's the truth of the matter.

glowleeper

If you have mutual contacts might one of them be willing to try to mediate?

That's good advice - thanks.

glowleeper

...setting out my terms and conditions...

I'd be interested to see a version of that...