[consulting] Unsigned Contract Breach Question

[Kevin Reynen]

Asking for $5000 seems reasonable.  Many managers would see $5K as a cheap
wake up call that there is something wrong with their process of hiring
contractors.  The contract could have been for $130,000 and with a company
willing to sue over it.

I would include the person above the person who verbally approved the
contract when sending that invoice.  Even if you don't get paid, it may
correct the mismanagement of contracts at that organization.  Hopefully
they'd clarify who can actually approve contracts and how that process
needs to be handled so this doesn't happen again.

Good luck!

- Kevin Reynen

On Thu, Mar 14, 2013 at 10:08 AM, Katherine Lawrence <kl at pingv.com> wrote:

> Resend
>
>
> On Mar 14, 2013, at 10:04 AM, Katherine Lawrence <kl at pingv.com> wrote:
>
> >
> > On Mar 14, 2013, at 7:46 AM, Katherine Lawrence <kl at pingv.com> wrote:
> >
> >> Hello Sam,
> >>
> >> There are possible avenues from the legal side that you could pursue
> about promises and your reliance on a promise, even a verbal one, but as a
> practical matter, most litigation costs more than one usually can get.
> >>
> >> In Sales 101 we are taught to ask the person who contacts you , and
> keep asking politely until you get a satisfactory answer, "are you the
> decision maker?" Too often the person who contacts you is the front-person
> who negotiates with us, only to find out the real decision maker has not
> arrived on the scene.
> >>
> >> Another way to ask this is, "tell me about how the decision will be
> made and a bit about who will be involved?" Another question "are others
> involved in making the decision to this contract?" Yet another, "is there
> anyone else who will be reviewing or approving the terms of this contract?"
> >>
> >> This is no a 100% solution because I have had people from well-known
> companies tell huge fibs, or try to re-open negotiations after a deal has
> had a virtual handshake, if not the real thing.
> >>
> >> We are used to running our shops. Most of us are, whether we take the
> title or not, "officers of the firm," meaning we can legally commit to a
> deal. In larger companies, the person who signs off may be a larger or two
> higher. Something called "signing authority" is involved in a larger
> organization, and the person negotiating with you may not have the
> authority to sign for the deal. The person we think is in charge is only
> the front-person. The real authority is hidden.
> >>
> >> Back to Sales 101, no sale is closed until payment is received. If a
> sales is going through the signature process, our internal ranking gives it
> only at 75% chance at best, usually 50/50 and the reason I say this is that
> this seems to be the reality, not only in the Drupal world, but in all
> executive sales.
> >>
> >> It is why we won't start work until a contract is signed and a retainer
> received. it is why we book hours in advance and do not move forward when
> the retainer runs out, and then move again when the next retainer comes in.
> >>
> >> Sad to say that we have to protect ourselves, but all too many times
> there are kookie-loos, tire-kickers, and people who are out window shopping
> when they don't have two nickels to rub together.
> >>
> >> Yours,
> >>
> >> Kate
> >>
> >>
> >> On Mar 14, 2013, at 7:24 AM, Sam Cohen <sam at samcohen.com> wrote:
> >>
> >>> Hi all,
> >>>
> >>> I'm curious if anyone has experience with something like this.
> >>>
> >>> A client who is the head of a branch of a large institution gave the
> go ahead for a very big project.  I supplied the SOW and they supplied the
> contract that I was given to sign.  Now because of the size of this
> institution, sometimes it takes weeks to get a signed contract back.  And
> in this case after three weeks I heard back that someone over the head of
> the person I was dealing with changed their mind and they've decided to go
> another way.
> >>>
> >>> So for over three weeks I've been committed, turned down another job
> because I wasn't available, and had secured other people to work on that
> job, who may have also turned down work.
> >>>
> >>> While I'm guessing their is no legal recourse here, because I didn't
> have a signed contract, I'm just curious is there's such a thing as an
> implied contract -- after all, they gave it to me, I signed it and was not
> free to take other work.
> >>>
> >>> I realize we're not attorneys here, just curious if this has happened
> to anyone?  Is it even legal to ask someone to sign a contract, but take
> weeks to come back with an answer?
> >>>
> >>> Thanks,
> >>> Sam
> >>>
> >>>
> >>> _______________________________________________
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> >>
> >>
> >>
> >> ___________________________________________
> >> Pingv | Strategy . Design . Drupal
> >> 720.663.8877
> >> http://pingv.com
> >>
> >
> >
> >
> > ___________________________________________
> > Pingv | Strategy . Design . Drupal
> > 720.663.8877
> > http://pingv.com
> >
>
>
>
> ___________________________________________
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>
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