Advice on non-paying client

24 replies
Have a client that I have a signed contract with.....restaurant. Developed website, facebook page, twitter, google places page....one of my first customers. Contract was for six months.....they are past due 3 of those months. I have them on page 1...under several searches. In good faith I continued facebook postings, updating of website..and of course guess what! Now client does not want to pay. Says that she owns website.....from all I have read....she does not - I do. I also host it and own her domain name.
She wants me to turn over site to her along with admin rights on Facebook and domain name....I said when past due is paid and a fee of $500 for website and transfering website/domain to her new host. She has said NO.
Has anyone had this happen before? I would like to just take down her website/facebook......but really would prefer I get paid.
Thanks
Suzanne
#advice #client #nonpaying
  • Profile picture of the author MonteMichaels
    This is probably going to have to be chalked up to a learning experience. Always make sure that you are able to get payments from them monthly. That is why I like to have either their credit or debit card on file with their permission to charge monthly, or their checking account information with the same.

    Never let yourself get into that situation again. I wouldn't go with the court system either. Sure you want your money, but if you make the business owner mad, they could post all sorts of bad things about you. And many business owners talk to each other.

    Take the loss and make sure that you set yourself up with a merchant account to take payments each and every month.
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  • Profile picture of the author saxatwork
    Does your contract say anything about ownership and termination of the services?
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  • Profile picture of the author dexter315
    When I start a project, I do ask for 50% of the estimate payment to be paid upfront. This helps in determining if a new client will be likely to pay for the full project. I also include in the contact I required signed by a client that once payment is paid in full I will release all rights I have to the design/content of the website to them.

    I did have 1 client that I had a similar issue with. I was paid the 50% upfront, but when it was time to pay for the remaining portion owed to me, that client refused to pay. I ended up taking down the website after giving them a 1 week notice that if payment wasn't received by the end of that week I was going to take the website down.
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  • Profile picture of the author RedShifted
    Originally Posted by suzanah View Post

    Have a client that I have a signed contract with.....restaurant. Developed website, facebook page, twitter, google places page....one of my first customers. Contract was for six months.....they are past due 3 of those months. I have them on page 1...under several searches. In good faith I continued facebook postings, updating of website..and of course guess what! Now client does not want to pay. Says that she owns website.....from all I have read....she does not - I do. I also host it and own her domain name.
    She wants me to turn over site to her along with admin rights on Facebook and domain name....I said when past due is paid and a fee of $500 for website and transfering website/domain to her new host. She has said NO.
    Has anyone had this happen before? I would like to just take down her website/facebook......but really would prefer I get paid.
    Thanks
    Suzanne
    Someone said don't persue court but you usually won't even have to get to that point for the amount mentioned.

    If you have a clause about this in the terms, you can merely have someone call her up to intimidate her with law. I've seen my bosses lawyer do this before, for a different business. The people usually always pay. I've had to do it once myself when at a house in person, the people paid then too. Only however because I had a contract and knew somewhat what I had to say to get the money.

    Otherwise you live and you learn.
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  • Profile picture of the author sandalwood
    Originally Posted by suzanah View Post

    Have a client that I have a signed contract with.....restaurant. Developed website, facebook page, twitter, google places page....one of my first customers. Contract was for six months.....they are past due 3 of those months. I have them on page 1...under several searches. In good faith I continued facebook postings, updating of website..and of course guess what! Now client does not want to pay. Says that she owns website.....from all I have read....she does not - I do. I also host it and own her domain name.
    She wants me to turn over site to her along with admin rights on Facebook and domain name....I said when past due is paid and a fee of $500 for website and transfering website/domain to her new host. She has said NO.
    Has anyone had this happen before? I would like to just take down her website/facebook......but really would prefer I get paid.
    Thanks
    Suzanne
    Take her to small claims court. That'll get her off the dime. If you have a contract and can prove she owes you money you will win. Once you win, you will have a judgment. Since I don't know FL law but can guess the next step it will be collections. Find out how it works in FL and pursue it. Probably an execution of judgment but could be called something else in your state.

    This is not legal advice at all. It is simply a recommend to learn your rights under the most fantastic court in our system. You get more justice in small claims than you do in the superior court.
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  • Profile picture of the author rbecklund
    We get half up front to start a website and we get the final half when the client is happy with the site but we have to get paid first before we make it live on their domain. We have a few sites that we have finished but they have never gone live because we never got final payment. At least we got some money.

    And for SEO I go month to month and I don't start the new month's work until I get paid for the new month.

    If your contract spells out that if you don't get paid you will terminate the site, that's what I would do and tell her you are going to do that if you don't get paid. I definitely would not be doing any work for her without payment.
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  • Profile picture of the author suzanah
    Thanks to everyone for your responses. Up till now have had great clients.....but it does happen and has been a learning experence.
    Will probably give her one more chance to pay....if not will take down website.
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  • Profile picture of the author iAmNameLess
    If this were me... I would still own the website, hosting, domain name, social media accounts, EVERYTHING. You want ownership? Well that's too bad... I want money + fee for inconvenience + buyout fee since you are straying away from our agreement.

    Don't give the owner anything.

    She said no she doesn't want to pay... then say no, you aren't giving her ****.

    I would take it to court, or hand it to collections. Yes, you can send it to collections even if you're small time.
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  • Profile picture of the author ADukes81
    Same thing happened to me last summer. I took the site down. He contacted me in November saying he was taking me to small claims court. I talked to an attorney and he said the guy (ex client) had no grounds on taking me to court.

    I emailed the guy letting him know that my attorney said, "Go ahead, we'll let the judge decide"

    I haven't heard anything since.
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  • Profile picture of the author VegasGreg
    I had this happen once a few months ago.

    I would take down the site, actually just put up a "maintenance page" that says, this site has exceeded it's hosting allotment (or something similar). It's amazing how fast they will call to get it back up.
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  • Profile picture of the author BenQ
    VegasGreg is exactly right. Just put up a maintenance page and wait for the call.

    DO NOT
    put anything else on the page referencing your disagreement.
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  • Profile picture of the author bryson
    Another option, can you rebrand all your work for a competitor? If so sell it as a package for what you are owed.
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  • Profile picture of the author dropbear
    i agree with bryson..If you do own the site, you have an asset..Start calling the local competition and move the service across to them..
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  • Profile picture of the author Andrew H
    i agree with bryson..If you do own the site, you have an asset..Start calling the local competition and move the service across to them..
    .... I would email them saying that you are going to be doing this, and hopefully they pay up.

    "Hello ________,

    I am sorry that we cannot come to an agreement on what is owed for this project. At the end of the day I am now out of pocket $0,000 because of the work that I did for you. My only alternative now is to rebrand your website and sell it to your competition, I am sorry but this is my last resort.

    If the invoice is not paid by _________, the website branding will be changed and the leads will now be going to your competition.

    Sorry, but this is my only option

    Regards,

    ______________"
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  • Profile picture of the author PhilaPM
    I agree with the other posts. I'd give her 1 week to pay and let her know that you'll be taking the site down if you don't get the balance owed. Tell them you'll also be looking to sell the site to one if their competitors.

    Patrick
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  • Profile picture of the author femdelak
    Banned
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    • Profile picture of the author David Miller
      Based on what you've said, which is that everything is in your name, you own the domain and website unless you have a contract that says otherwise.


      @femdelak - I have a secret too...shhhh...I just reported your post as spam. Don't tell though. Like I said, it's a secret.
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      • Profile picture of the author TheShark
        BE VERY CAREFUL,

        If the facebook or website addresses are actually under the business name - you may have some legal problems.

        I had someone do this to a client - refused to hand over the domain and the domain address was my client's actual unique name. Let's just say it wasn't pretty for the provider (fyi in that case the client did pay in full and the person demanded money for the transfer).

        Anytime I have a marketing client I make them put in writing that I own everything, depending on the pricing model.

        See an attorney in your state.

        TheShark
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  • Profile picture of the author kolbywhite28
    I believe your client is under the impression that since the domain and facebook accounts etc are under her business name, she has the rights to them. She is obviously trying to screw you.

    If you have a contract with her and those accounts are registered with you, I don't see how she has a case. It will be fairly obvious that you were hired to provide a service and that she is refusing to pay.

    Let her know in no uncertain terms that this is not a case of cyber-squatting or trademark infringement and the law will almost definitely be on your side.
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    • Profile picture of the author Seantrepreneur
      Originally Posted by kolbywhite28 View Post

      I believe your client is under the impression that since the domain and facebook accounts etc are under her business name, she has the rights to them. She is obviously trying to screw you.

      If you have a contract with her and those accounts are registered with you, I don't see how she has a case. It will be fairly obvious that you were hired to provide a service and that she is refusing to pay.

      Let her know in no uncertain terms that this is not a case of cyber-squatting or trademark infringement and the law will almost definitely be on your side.
      Kolby is correct. You can own the domain name of her business all you want as long as it is not trademarked which I highly doubt it is. You own everything as of right now and I absolutely wouldn't give her one thing until she paid the full amount. Also, I would take down the webpage and FB page to show her you're serious. In our contracts we even have a section that says we can charge a certain % above the contract rate for late payments.

      Don't back down on this one either. Stand your ground because if you gave her the results she asked for you are rightfully owned that money. That would be like you going to her restaurant and eating the food then walking out before paying.

      Good luck with this,
      Sean
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      • Profile picture of the author TheShark
        LOL

        Actually, if they decide to sue you in small claims, even if the law is on your side, the judge can rule against you - so be careful if you are using their business name (I'm not talking your content, I'm talking their name as an address) - I can think of 3 ways right now to sue you successfully in California and most other states that you could probably not get around, even with a great attorney.

        Always have a written contract. Good luck.

        TheShark
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  • Profile picture of the author Hania12
    - was the job "contract-less" in the sense that you have only "verbal" agreements about job to be done and money to be payed?
    - have you had discussed job and money by mail or by phone most often?
    - have you had part of your job payed, or nothing at all?
    - in which country/state reside you and your client, by the way?
    - how this "threating" is expressed - did your client really undertake some measures or it is only speaking?
    - is not it easy for your client to restore your work from server backups?
    - how big is the sum already payed and owed if it is not commerce secret (especially comparing with money your client should pay lawyers for their job).

    Roughly speaking, if you have a verbal agreement - it has some judicial power in many countries - though it may appear almost impossible to prove statements of this agreement - and it is even harder to prove that you should do any work unpaid.

    Roughly speaking I dare to suppose you really can "take back" your work, but if some work was paid already, you'd better get back to the last revision of this paid part of work. If you had not ever been payed anything at all, I do not think any "legal actions" would go further than threats.

    When you are dealing with a non-paying client phone and be pleasant and tell them you have not received their payment. If they continue to ignore you then send them a registered letter along with your bill and tell them to please pay the bill at such and such a time. If they still refuse to pay then send them another registered letter along with the bill and tell them they have until the end of the month to pay the bill or they will be hearing from a collection agency because this leaves a paper trail. If they still do nothing and the amount is significant then put it in a collection agencies hands. If the bill is small then you would be wise to write it off rather than to go through further legal expenses and red tag that client so you do not do business with them again.


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  • While sabotaging your clients site may seem like a good idea, it is not worth tarnishing your reputation. It is an unfortunate situation your are in, but i encourage you to think more long term. Have you exhausted all diplomatic means of resolving the issue between you and your client?
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  • Profile picture of the author Hugh
    "Sorry, this website is temporarily down due to maintenance."
    Then forget about it. Let your (ex)client make the next move.
    Take a deep breath. Smile and go back to work.

    Hugh
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