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Post Info TOPIC: Bookkeeper needs help -Client won't pay


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Bookkeeper needs help -Client won't pay
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Hello All, I was wondering if anyone could help me. I had a client who was always late paying my invoices and eventually I had to put his account on stop until payment was received. he then threatened me with a whole host of legals saying I had stolen his laptop and wanted it back before he would pay up and that he no longer wanted me as his bookkeeper. I returned is laptop but I uninstalled my software packages. I thought about withholding the back up data files but thought better of it and returned them to him. But now he is saying he is getting his solicitor onto me for deleteing software and data of his laptop.

Anyone help...did I have the right to do that?

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Fay


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If the software was purchased by you and simply installed on your clients laptop then you should be allowed to uninstall it. Who the data belongs to is different, and I think you did the right thing by letting your client keep it.

I think the best course of action is to seek some legal advice. Most solicitors will offer a free consultation and they should be able to put your mind at rest.

Sounds like a nightmare client though!



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Hi Faye, and thanks for your input. Client was a nightmare and I beleive he was trading insolvently. He could not pay his bills on time and I was fighting legals day after day hence putting him on stop.

Thank you

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People often get threatened with solicitors, but my experience it very rarely comes to anything because of cost. I know someone who can't get invoices from her former issued on behalf of the business. To get him to hand them over would require a court order which would take at least 3 months to get and cost over £5000.

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CBS


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I'd research raising a claim in the small claims court yourself rather than going to a solicitor. It is easier than you think and relatively innexpensive to do.

http://www.hmcourts-service.gov.uk/infoabout/claims/index.htm This should help in your research.

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There are solicitors who specifically deal with recovering debt.

Have a look at www.thomashiggins.com, I have dealt with them in the past via clients and cannot fault them.

Julie

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Sorry to hijack this topic from 2009 but I can't work out how to post on the forum (although I have done it before).

Probably because I am very upset and can't think straight after the nasty email I've just had.

Had a client for over a year for whom I did 1 day a week using MYOB but was far from happy as the man was a real bully (he often had the other girl working for him in tears and she left on the advice of her doctor).  He would for instance tell me off for using my initiative and then, the next time say, "can't you use your own nous for once" if I asked how he wanted something done.   He spoke to me as if I was a moron and yet he was barely literate.   Total control freak; he'd had no bookkeeping training but had been doing the books - not very well - in the past but still kept interferring in how I was handling them.  I should add that I am a trained bookkeeper with several decades of experience behind me. Although he finally accepted I knew what I was doing but I had the uncomfortable feeling he wouldn't let me go so easily.  I was right.

 I was then recommended to sort out another company's accounts on Paprika, in which I had trained and used for a few years so told him I would have to leave back in Feb.  At his request, I kept on for until May in order to do the latest VAT Return for him - but also doing 2 or 3 weeks in one as I couldn't make each week.  He would expect me to catch up each time and would keep saying, "have you finished yet?"  Finally I told him I couldn't keep coming in, especially as he had shown no sign of recruiting a replacement.  He asked me if I would come in and do a handover when he found a new bookkeeper to which I agreed, but expected that to be sooner rather than later.

I put my invoice in for May then, in July, he asked me to come in and do a handover as he was doing the  accounts himself.  What he said was: "I've been keeping on top of entering purchases etc.  It would be great if we could arrange a hand over between you and I (sic).  Basically come in for one last day, show we (sic) a few things like how you run the VAT and post wages etc".  No inkling that he was unhappy with my work.

I told him I was happy to but reminded him he hadn't yet  paid my May invoice.  I then got a rather nasty email which included this weird response: "My terms of supplying work are based upon accurate, professional workmanship carried out as per instruction supplied." and that he would only pay me once I had complied.  I insisted that my terms of payment, as he knew, were 30 days and were unconditional.

Apart from refusing to be bullied and blackmailed into going there, I have a lot of work and stressful personal stuff going on (including an imminent knee replacement op which he knew about) but the nasty tone of his emails have escalated, despite - or because of - my refusal to get drawn into an argument with him.  He is now saying I "changed procedures without his permission" (!), and that the bank doesn't reconcile (it did and I left a record of it).  Today he emailed to say that he'd called in the accountants who do the annual figures to put right the mess and would only pay me what was left if anything after he had paid them but also insisted he (not the accountant) had had to re-reconcile right back to February.  Which is a total load of.....

To be accused of being incompetent is deeply upsetting and I wanted to email back and point out that, as he had been posting to the accounts himself since I had handled it, he could hardly blame me. 

I have resisted the temptation to email and defend myself as I feel it will only make matters worse and upset me still further and will approach the small claims court (once I get time!) but could I ask for any feedback? 

By the way, my new clients are lovely (even though the accounts were in chaos!)

 

Thanks a lot

 



-- Edited by Sheffilyn on Monday 13th of August 2012 04:54:16 PM

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-- Edited by Merlin on Monday 13th of August 2012 06:18:57 PM

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Fred Coleman MAAT

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It's easy to say and difficult to do, but don't let it get to you. You may want to look at sending him a solicitor's letter (£2.40 from www.thomashiggins.com), before starting the small claims paperwork. It may let him know you mean business. If it works, it's £2.40 well spent; if it doesn't, just add it to the claim :)



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Fred Coleman MAAT

Semper in faecibes sum, sole profundum variat.



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Further to what has been mentioned don't forget about the Late payment of commercial debts (interest) act 1998. This allows you to charge interest for each day late the payment is at 8% above bank of England base rate and a fixed amount of compensation based on the amount owed, if under £1000 is owed this compensation is £40.

Good luck, sounds like your lucky getting out when you have.

Kris

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Hi!

I think by threatenning you with his solicitors he just wants to scare you off so that he does not have to pay you.

And you did the right think to return his data to him.

Is it worth to waste time and energy on him by taking him to the court?

I would move on unless the debt from him is material.

Wish you all the best!



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gbm


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As above.

And in future, don't give 30 days. That's far too long.

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Agree with Nick - I only give 7 days or deposit up front, this gives time to put on hold prior to next demand. Still get some that bulk everything till the next VAT quarter but atleast I can put on hold straight away.

I've used Direct Route various times for myself and clients - have collected quite a few now. No charge for the demand letters however subject to whether you have already charged interest etc. Please let them know my recommendation as always good for future.
thank you



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Thanks for all your help; sorry to have taken so long to get back but, as they say, it never rains but it pours and I've been spending a lot of time sorting out care homes and fees - but that's another story!

He has now paid about a third of it, which he said was to after the deduction to pay an accountant to redo my work. He'd also said it had taken HIM 4 hours to redo my work, thus contradicting himself anyway but it is a load of nonsense. He didn't want me to leave and was more than happy with my work until I insisted he paid my overdue invoice before I came back to "show him how to do the VAT, post wages etc".

I'm still in touch with his ex-PA who says he was like that "cutting corners to save money and playing games with clients".

I've just sent a statement and will contact Thomas Higgins, solicitors, to get the ball rolling after that; thanks Merlin!

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Hi Lyn,

Try to do as much of the admin on debt collection as you can. Have a look at : https://payontime.co.uk/

site and send an interest only invoice.

best wishes,
Tim




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I've just used the final demand letter from payontime.co.uk for a client of mine. Email went off at 11 today, by 11:30 my client had a call promising him 50% payment by end of this week and the other 50% next week. I have the small claims court forms ready fill in if the late payer is shullbitting.

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Fred Coleman MAAT

Semper in faecibes sum, sole profundum variat.

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