February 23, 2012

Contractors – What if you disagree about terms?

Contractors and freelancers starting off may well feel they can’t argue with their client over the terms and conditions of their contract. So they set up a contract which makes certain stipulations and a client just won’t agree. Mostly those new to negotiating contracts will feel they have to give way, especially if the amount is large and they feel they must get it at any cost. It may be that the client won’t agree to payment terms, either the overall cost or the stipulation that a percentage of the contract payment has to be paid at the completion of certain defined stages, or you stipulate that the intellectual rights stay with you until the completion of the project and the client wants to use them straight away.  So you don’t agree what do you do?

1. Don’t give way – stick with your conditions

If these terms are vital to you then stick to them – as with all dealings with clients you will just have to learn to stand your ground. If you have the expertise they need they are much more likely to agree than try to find someone less good they can bully.

2. Compromise

Agreeing to a compromise is usually the best option and can be a win-win for both you and you client. Perhaps you agree to fewer staged payments and agree to lease the work to them until project completion.

3. Walk Away

You’ll get to know the feeling when this relationship is just not going to work or you don’t feel you can trust this company. So they won’t pay you until the end of the project? And how likely are they to try to slide out of ever signing the contract as finished. If you have doubts just leave it.