The sole trader you can use right of lien over the clients books and records to basically hold them to randsom. You can refuse to file even though you have done the work and also refuse to return any documentation until payment is received at which time you will file the necessary documents.

Cheaper than court action.

The second is more complex as it is illegal to enact a lien over a limited company. Companies act trumps everything and the books and recors must be available to view at the companies registered office or nominated alternate address.

You've hit the situation that I hate most with both of them in that they are sticking their heads in the sand and not talking to you.

Your better option may be to wash your hands of the client as imagine all of the time that you will waste chasing the debt wheich could be better spent chasing new clients who would be happy to pay you.

In many ways with the RTI she is using your professionalism to her advantage, basic problem tranference in that you are feeling her problems as your own.

To fire the client I would (a) telephone them to tell them what is happening and (b) use recorded delivery to record that she has received the dismissal letter and file a copy of the leter togetehr with the post office receipt and delivery notification (printable from their website).

The letter should emphasise the RTI and VAT issues and the penalties that she will suffer as a result.

Maybe add a note to say that as an interim provided that all fee's are brought up to date and one months advance payment is receieved you will continue in your role to finish off her RTI and VAT whilst a replacement is found, but, should payment not be forthcoming then you will have no option but to regard it that she has terminated the contract with immediate effect (they never see it that it is they they are terminating the contract through not upholding their part of it) and you will be ceasing all work immediately.

I would add that her paperwork will be available to collect upon payment even though that line holds no legal status (but she might believe that it does).

hope that helps get the ball rolling,

all the best,

Shaun.

I send statements with thick black borders, might sound daft but often works. Failing that add the lien wording to everything you send out, where you are allowed. Failing that remind them via each communication medium ( ie I will email as well as text etc so they can't say they haven't had it) to remind them that either Vat or PAYE etc is due and that I need the account to be brought up to date before I will undertake any more work and what the consequences are if it's not done on time. I will also issue the standard 7 days to cough up or I will charge you interest/ take you to court, even if you then decide not to. I will hound them till I it. You can lodge a small claims court claim online I believe for about £35, but so far I've not had to go that far as my hounding has worked.

Don't let the ltd company one get away with due to being a 'friend'.....she clearly isn't if she can ignore you and not pay you. Absolutely do not do her payroll, until you have been paid the arrears and she has then paid you up front for the payroll. I did that for one of mine and converted him from a late payer to getting it all up front by weekly standing order. No money, no work done!!

In fact for the latter one I might even be tempted to turn up on her doorstep!!!

Good luck with getting your money back John.

Hi John
Did you get hold of her - on the phone I mean as opposed to round the neck, lol. Hope you got is sorted but if not........

I would turn up at Sunday tea time!!!!!!!!! Dont let it being the weekend stop you to collect what is due - lets face it they dont always know the boundaries do they!

Does she live anywhere near me? I will go!!!!!!!!!!!!

I would send your termination notice plus a statement with massive thick black lines round it, plus what i call stage one and two letters - ie stage one - that you are going to add charges and interest under the late payments legislation ...blur blur. Then the stage two - if you dont cough up in 7 days Im taking you to court ....CCJs, downgrading of status blur blur (there are some good ones on the net!) and ring her from someone else's phone and keep ringing her till she pays you to be quiet! Or wants the wages doing to avoid RTI - then cash up front only! Its £35 online to stick a court claim in - is it worth it? (depends what she owes you).

Yes you may have to walk away - but make her think you will not. grrrrrrrrrrrrrr people like that make me so mad. Now go and get some coffee and cake and chill! lol