Required Payment Terms on an Invoice

[da8iwr]

Hi there
I have been sending out the same invoice template to my clients since 1998, and this week i have just had a problem with it but i don't know if it is them trying to pull a fast one, or them just being an arse.

I sent it 8 weeks ago, on the understanding of paying instantly. I have always work with 50% upfront, then 50% on completion, but now they have said that as i have no payment terms on my invoice (the box that says payment terms box is blank), they don't have to pay until they feel fit.

The client is saying that even though i have completed my part of the work, they are not paying anybody that worked on the project until all other parts are completed by other third parties and in-house staff!!!

I have looked every where and cant see this
http://www.businesslink.gov.uk/bdot...3791759&r.i=1073791761&r.l2=1073858944&r.s=sc
even this says nothing about this type of thing.

Any advice will be amazing

 

[NCA]

They are pulling a fast one unless their terms of engagement mention this. Do you have a contract?

 

[Peter Bowen]

Sounds like they are taking a chance. It might be worth a quick look at the agreement with them and see if it specifies any nonsense like that. If not drop them into your normal credit control system and start chasing them. The squeaky wheel gets the oil.

If you don't have a credit control system and would prefer to spend your work days doing something more useful than dealing with slow payers why don't you give the automatic debt collecting system a go. It's easy to use and as persistent as a two year old (but a lot more polite).

Cheers

Pete

 

[credit control service]

Hi

The Late Payment Act states : "where no contract exists or where no payment terms are agreed". payment is due "30 days from the supply of the goods or the delivery of the service, or the date of the invoice - whichever is the later". See 'useful tools' on our website for more info.

Send a Final Demand Letter or Letter Before Action, or give us a call and we'll chase on your behalf. In most occasions we can get you your full invoice value as we make our fee by charging your debtor a late payment charge and interest under the late payment act. We act tactfully to try to maintain a good relationship with your customer!

Jeremy
TAK-Outsourcing
Credit Control and Debt Recovery

 

[David Griffiths]

This shows the dangers (futility even) of putting payment terms and conditions on an invoice - it's simply too late.

The customer must be aware of any payment terms at the time that the contract is formed - before you do the work. If you give a written price, then the terms should be sent with the quotation.

The invoice is normally sent after the work is done, so something printed on the back cannot be part of the terms of the contract.

Fortunately here you are bailed out by the default provisions referred to above. It should be taken as a lesson for the future!

 

[RAL]

If you want to use solicitors firm then I recommend Thomas Higgins. They charge just £2.00 plus vat to send out letter before actions. Generally this letter would do the trick. However, if your client does not pay after this action, then you have to go to court.

I use Thomas Higgins and they are very good. They do not chase debt. Here is link to their website http://www.thomashiggins.com/index.html.