Not only is what they are doing very wrong, it is also illegal; it is also obvious that the IT company wants to defraud you out of your money.
The relationship the IT company had with the Nursing home is somewhat of a "General Contractor" and your relationship with the IT company was somewhat that of a "subcontractor" . You were in constant communication with the IT company, informing them where you were placing the wires and they approved. Verbal or written approval was not necessary because if you were informing the IT company every step of the way and the placement of the wires was incorrect, they had a duty to tell you so that they could be placed elsewhere.
If the IT company did not have you sign a Waiver of Mechanics' Lien before you did any work, then you should immediately file a Mechanic's Lien against the property of the Nursing home facility on which you did the work; that would be filed in the county in which the Nursing home facility is located.
Mechanics' Liens can only be filed within 4 months after the last work was completed so file it relatiely quickly, just to be on the safe side and you do not lose your right to do so.
It is not necessary to tell the IT company you are filing a Mechanics Lien, let them be surprised when the Nursing home facility finds out and tells the IT company.
Simultaneously with filing the Mechanics' Lien, write a "Demand Letter" to the IT company for payment, because when you sue someone for money owed, you must allege in your Complaint that "formal demands for payment were made, all of which demands have been refused". Make a couple of copies of the letter for yourself.
Allow 3-4 days to go by, then file a Complaint with Small Claims Court and at the time of the hearing you will show the Judge copies of the invoices you periodically submitted to th IT company for payment and your demand letter. You will also tell the Judge that each step of the way, you were informing the IT company of your installations and their locations and that they never voiced any objection, that they got paid by the Nursing home and that they claim they never got paid.
Good Luck! You'll be fine and you'll do fine.
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ANDREA, JD, LL.M., Taxation
Member, NY & PA Bar
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