BREACH OF CONTRACT...DO I HAVE A CASE?

[chinman75]

My job: computer consultant (incorporated) working through an agency

Oct 10-26
Manager goes on vacation. I am not informed.
I find out by sending an email to him and getting an auto-reply vacation message.

Oct 23
I give my 2 weeks notice to my agency that I'm quitting.

Oct 30
Manager comes back to work. Agency informs him I'm quitting.
I don't say anything assuming he knows already.

Oct 31, 2000
I come back from lunch and Manager sits me down at a Conference Room.
Mgr says that users have been complaining about my performance.
I was never given a warning. This is news to me.
I ask Mgr if he would like me to leave TODAY.
Mgr says yes.
I just ask that my timesheet be signed and I would be on my way out the building.
Mgr says OK.

Mgr then asks why I didn't tell him the day he came back that I was quitting.
I reply by asking him why he didn't inform me he was going on vacation for 2wks.
Mgr said that's irrelevant.
Mgr then asks me again why I didn't tell him I was quitting when he came back from vacation.
I said it is for the same reason why he didn't tell me he went on vacation. It's irrelevant.

Mgr gets mad as I leave and calls security to escort me out the building.
Mgr says that he is not signing anything and to have my agency call him about timesheets.

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THE AFTERMATH:

Nov 1

I call the agency.
Agency knows about what had transpired.
Agency is bitter that I quit and blamed me for everything.
Agency said that I jeopardized their relationship with the new client since I was their foot in the door.
Agency says I will get paid when they do and that there were no guarantees.
Agency asks me to refax signed first 4 weeks of timesheets and I do.

Nov 27

I call the agency.
I tell the agency that it has been nearly a month now and my contract states that I should get paid 30 days after invoice.
I tell the agency that it is fine to me if I don't get paid for those last 2 days.

According to the agency, they just got paid for my work completed 2 months ago by the client this month.
Agency wants me to bear some of the risk since I put their relationship with their client in jeopardy.
I told the agency that according to my contract, I was supposed to get paid 30 days after invoicing.
Agency says that they are not going to pay me first, not knowing if the client will pay them for October.
Agency says that yes, it is a breach of contract, but said that I had breached the contract first by misrepresenting them in such a way that the client wanted to get rid of me.
Agency says they would be happy to tell that in front of a judge if I want to sue them.


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QUESTIONS:

DO I HAVE A CASE FOR BREACH OF CONTRACT?

WHAT COURT WOULD I GO TO SINCE THE SUM IS OVER $10,000?


The aggrieved party, to help support his claim for breach, should
have done all the things required of him under the contract up until
the time of breach, and must have done nothing to make it impossible
or unreasonably difficult for the other party to perform his share.
The nonperforming party can be expected to make excuses for his
conduct, and he will try to find ways to blame the other party--an
excellent argument for performing one's own side of a contract
punctiliously and in a manner that leaves a record which others can
see.

There are so many possible ways for performance of a contract to give
rise to dissatisfaction that the courts have been forced to analyze
the matter in much more subtle terms than "breached" or "not
breached."

There has to be a limit to the quibbles of the dissatisfied customer,
for example, or the courts would be swamped with trials over precise
shades of paint and tiny imperfections in services. A party can
unintentionally fall short of perfection, but if he has substantially
performed his duties under the contract, he can still sue the other
party for payment.

The dissatisfied party, on the other hand, can usually win some
adjustment in the amount of payment as compensation for the minor
defects in the performance.

 

[Optimus]

In my opinion, you may need a Lawyer.


Waaaaaaay above us "armchair law" people, I'm afraid.

 

[Don Vito Corleone]

You may very well have a cause of action, but it largely hinges on the language in whatever paperwork you signed with your agency. I recommend you gather up any and all supporting documentation and go consult with a contracts attorney licensed in your jurisdiction.

Due to the dollar amount, this case will be filed in some flavor of district court, probably a state court. If you, the agency, and the employer do not all reside in the same state (a corporation "resides" in the state of its incorporation or any state in which it does business), you can file in federal court if that is your desire.

 

[Wangel]

Yes depending on what your small court limits are, probably too large for that. You would need to file in district court. You can get the proper paperwork at any law library. Not real difficult. Heck, idiot lawyers can do it! Go for it.

 

[Namuna]

How much longer will you have to wait it out before getting paid? They said there is 'risk' on whether or not they will be paid for October. Asking you to accept part of that 'risk' by waiting with them is reasonable.

It WAS PARTLY your fault the relationship is unstable (being a consultant means you've GOT TO eat humble pie). So what if the Mgr didn't tell you he was going on vacation? He's the hand that feeds you and as much crap as your pride has to eat...EAT IT!

You walked away from a situation YOU created, and you're expecting the Consultant Agency to bear the brunt of it and just pay up?

My suggestion; Push them to pay you your share of what they've already been given, and wait (along with the Consultant Agency) for the rest of the payment.

 

[FettsBabe]

Consult an attorney who specializes in employment law.

Court - Probably Superior since the amount of money is above $10000. Check you state statutes to be certain.

Breach of Contract - I believe so. However, a good attorney can tell you how mucf of a chance you stand.

Good Luck and take that so-called agency down!!!

 

[AndrewR]

First off, if there's that much money involved, spend some of yours to consult a respected attorney (first consultations are often free though -- depends on the lawyer).

Unless your small claims court limits are very high, you'll have to file the case in state court (the particular name varies with the state) -- even with diversity of citizenship, the amount in controversy for a federal case must be over $75,000 so you don't qualify. That's good, however, as most corporations favor federal court (ours does). Do check the limit for small claims, however, as that's the easiest and quickest way to bring something to trial -- our limit here in Atlanta [Fulton County] is $15,000, which surprised the heck out of me when I found out. A lawyer will know all of this though.

Even though the court process is not terribly complicated (complaint, answer, discovery, motion practice, trial), it's best left to a lawyer familiar with it when you have something concrete to protect like your paycheck. Also, the other side may very well respond to a lawyer's demand for payment when they wouldn't respond to you. The ",Esq." has an effect in many cases.

You may want to consider a very particular pay arrangement with your attorney, however, because many standard contingency agreements would have 33% of the amount recovered going directly to the attorney even if one letter is written to settle it. Be very clear how much the lawyer will receive and when if it's a contingency arrangement, or make sure you have a firm idea of the eventual cost of a standard per hour rate for the case. A $300/hour attorney can QUICKLY accumulate some serious fees (though that's on the high end in many cities, it's low for others).

Also, evaluate your case with an objective eye. How credible are the claims that your performance was not up to par? Even if it is credible, what does your contract say about that? If you breached your agreement with the agency on a performance clause, then their breach of payment may balance out. The end result could be that you lose, unfortunately. However, be perfectly honest with your attorney, and he/she can evaluate your claims in light of the contract(s) and state laws involved. Be very wary of an attorney who promises the moon without any mention of the pitfalls.

BTW, it's perfectly normal for a contract employee to NEVER discuss particular details of the employment arrangement directly with the supervisor on the job. I was a contract temp for awhile, and I always went through the agency rather than directly to my "manager". It depends on the situation but that's far from being exceptional.

Good luck!

 

[Vaneleus]

I dont know much about breach of contract, but I do know one thing. I just turned senior. yeah thats right senior. VaNeleus, OUT.

 

[Harvey]

From your post, I assume that $10,000 is the limit for Small Claims Court in your state. If the amount you are owed is not much greater than that limit, you could still take it to Small Claims Court, because the expenses of a Superior Court suit and a lawyer could cost you more than you could win. It would also probably take much longer to get to a final resolution.

When interviewing attorneys, they should allow you one free interview before they start work. If you do go that route, make sure you ask your prospective attorneys if thry think you can include asking for costs and loss of interest on whatever you would win.

Good luck.

 

[Zenmervolt]

My father got involved in a "wrongful termination" lawsuit (he was contracted for 2 years, fired based on something pulled out of the air after a little over a year and a half). I believe the lawsuit lasted longer than the time he was employed, but it was eventually settled out of court for the entirety of what my father had demanded (the remainded of the money stipulated in the contract). Bottom line, this type of thing can be long and messy even if you have a good case. The last couple of lines about the agency:
"Agency says that yes, it is a breach of contract, but said that I had breached the contract first by misrepresenting them in such a way that the client wanted to get rid of me.
Agency says they would be happy to tell that in front of a judge if I want to sue them." make me wonder, they seem to believe that they have a good chance in court. Sympathies are clearly on your side, but by going strictly by the law you may wind up paying for attourneys on both sides of the case. Find a good lawyer if you don't already have one, and talk with them about it.

Aaron Meyer

 

[Frenchie]

Harvey: Court costs and statutory interest are asked for in every case as a routine manner of prcatice. The only one that is difficult to get is attorney's fees.

 

[Untamo]

You were right, they were wrong. Industrial espionage works much much better. Ala "America Beauty". A lawyer is out to make money, unless you're friends with one. My suggestion, is tally up how much pay you actually lost, then take this into account.

1. The fact that they can very easily weasel out of the lawsuit.
2. How much is your time worth to really go thru all that hassle?
3. Are you ready to recoup everything that could happen because of it, emp history etc...
4. Is the money really that much to go thru with this?

Like I said, Industiral Espionage. In borders on illegal, but blackmail is the next best thing. I know it sounds out there, but with the proper information, you will hold power, not them. If that means placing wireless microphones in inconspicious places, so be it. Tailing them home and see if they're cheating on thier wife, etc... It's actually fun. You dont have to go to that extreme, but perhaps find something that is relative to thier company, ie... labor laws that are being broken, payroll fraud, dept of health violations, anything that would cost them MORE TIME in meaningless paperwork and hassle, is good for your position.

You either waste your time in the lawsuit, hopeing to recoup time & money over the course of 4-12Months +, or put it use in something more fun. Just have to know what to look for... so to speak.

Personally the company & the agency can go to hell for all I care. G'luck either way.