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Hello. Some inquires here: Is there a written contract with the client? It sounds like the client pays your partner's company. If he is your partner, how are you partners. The concern here is that it appears that the client is his company client and not your client. What type of arrangement is all this?
No written contract - just a monthly agreed service with the client. We provide - he pays as invoiced by my partner's llc OTP. My partner and I share the work for the client and verbally agreed to split the funds. So Id first like to have my partner stop invoicing the client from OTP and invoice via our joint LLC. The joint llc ITA is in his name but I have a written agreement that any proceeds written to our ITA business account will be split 50/50.
Thanks for the additional information. Does the client know that you are involved?
Yes, I am in touch with them and have been coordinating payment as well as the design and implementation work.
There are various options you can take in this difficult situation. None of the options will be idea unless your partner is cooperative. It appears that the client is a client of the current LLC, and would be of the other LLC where you have a written agreement. You can deal with the client directly to change the LLCs but if your partner objects, your partner can claim you are interfering with his business. If you want we can brainstorm options. Legally, it seems that the client is of the LLC since payment is going to the LLC and you are either in a joint venture or an independent contractor with the LLC. We have an additional service to speak on the phone to talk this out. There is an extra charge, if would you like me to send you the offer.
Hello. Do you have any follow up questions? Thank you.
I have a LLC (LEN) and my partner Sam has one (OTP). A year ago I have a written agreement with Sam that he owes me $23000 for IT services. He has been paying it monthly then stopped by claiming. He wants me to reimburse him for all travel (no agreement to do so ever), needs to see all invoices and checks written and deposited to LEN (I would give him his half). We have no written agreement except the $23000 he owes me and to be paid back at $2000 a month which he stopped doing. This could be endless going back 4 years of payments to / from his company looking for where he/I didn't get paid. But month to month we were square and I have no email stating he was owed anything. Now hes doing all he can to get out o f paying whats owed. What can/should I do to get the balance ($12070) paid to me and whats his defense to not pay?
Hi Mike: I can continue on this question. I will send you the premium service offer for an extended Q&A.