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main contractor not paid for job what is my rights as sub contractor?

main contractor not paid for job what is my rights as sub contractor?
do i pursue the company i work for as i never had a contract with the business direct


Comments

  • Grumpy_chap
    Grumpy_chap Posts: 20,883 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    What are the details of your contract with the main contractor?
    Is there a "pay when paid" clause?
    You very probably cannot pursue the end client as there is no contractual relationship.
    What are the reasons the main contractor has not been paid?
  • TBagpuss
    TBagpuss Posts: 11,237 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    It would depend on your contract with the main contractor. What does that say about when you get paid and whether there are any conditions on payment.

    Unless your contract with them explicitly states that you getting paid is dependent on  them getting paid. then you are probably entitled to be paid regardless of the situation between them and their client (although of course if them not getting paid means they become insolvent, then you may not be be able to recover the debt) 

    So step one is to re-read your contract with them and what it says about terms of payment. 

    All posts are my personal opinion, not formal advice Always get proper, professional advice (particularly about anything legal!)
  • MalMonroe
    MalMonroe Posts: 5,783 Forumite
    Ninth Anniversary 1,000 Posts Name Dropper Photogenic
    edited 12 April 2022 at 5:14PM
    Without having a lot of information it appears that you work for a company. If we assume that company you work for, with a proper contract and everything, subcontracted you to work for the main contractor. Having assumed that, then the company you actually work for should pay you.

    It has nothing to do with you whether or not the main contractor has been paid. 

    So I would think, as you have suggested, that you should pursue the company you work for. (Assuming you have an official agreement with them).

    (Sorry, I realise that is a lot of assuming! But I hope it's also helpful.)
    Please note - taken from the Forum Rules and amended for my own personal use (with thanks) : It is up to you to investigate, check, double-check and check yet again before you make any decisions or take any action based on any information you glean from any of my posts. Although I do carry out careful research before posting and never intend to mislead or supply out-of-date or incorrect information, please do not rely 100% on what you are reading. Verify everything in order to protect yourself as you are responsible for any action you consequently take.
  • Marcon
    Marcon Posts: 16,009 Forumite
    Ninth Anniversary 10,000 Posts Name Dropper Combo Breaker
    MalMonroe said:


    It has nothing to do with you whether or not the main contractor has been paid. 


    Unfortunately it could have a great deal to do with it. As already pointed out, there could be a 'pay you when we've been paid' clause in the contract; or pushing for payment could tip the main contractor into insolvency. Check both points before going any further.
    Googling on your question might have been both quicker and easier, if you're only after simple facts rather than opinions!  
  • Grumpy_chap
    Grumpy_chap Posts: 20,883 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    I assume the OP has an "outside IR35" contract, one of the requirements of which is carrying business risk.  Payment default is one such risk.
  • Ath_Wat
    Ath_Wat Posts: 1,504 Forumite
    1,000 Posts Name Dropper
    MalMonroe said:
    Without having a lot of information it appears that you work for a company. If we assume that company you work for, with a proper contract and everything, subcontracted you to work for the main contractor. Having assumed that, then the company you actually work for should pay you.

    It has nothing to do with you whether or not the main contractor has been paid. 

    So I would think, as you have suggested, that you should pursue the company you work for. (Assuming you have an official agreement with them).

    (Sorry, I realise that is a lot of assuming! But I hope it's also helpful.)
    The main assumption you are making is that he works for anyone other than himself.  The much more likely situation is that he is a self-employed sub contractor and this is not about salary, it is about payments between businesses.
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