Self Employed and Unpaid

[Leigh2023]

Hi, I wonder if someone will be able to help with an issue my Dad is having in getting paid for work he did for a Building Contractor? The sum owed is just over £1800 for two weeks work for two people.

To give some more details, a few months ago my Dad did approximately 2 weeks work for a Building Contractor while self-employed. During this time he and his workmate (who work as a pair of bricklayers) did some general bricklaying work i.e. bricked up a window, restored gable ends, moved 1000 bricks onto scaffold. While doing this they were told the company frequently don't pay on-time by several other personnel so decided to move onto another job. A week or so later they were due to be paid but weren't. At this point they rang the office but made no progress in getting the money due to being given a number of excuses (the accounts lady not working that day, etc). After a couple of months passed my Dad went to the site and took some photos of the work they had done to prove it's quality as he decided to take the matter to the small claims court, for which we completed the paperwork and sent off. Following this the company asked for an extension to reply, before then requesting it be taken to mediation. During this time they were messaging my Dad asking why he had done this and things along the line of why didn't he think he was going to get paid. While officially the company are now claiming that they had losses due to having to get other self-employed/contractor workers from elsewhere to complete the unfinished work. My Dad believes there was no unfinished work and they were only there on a 'to help out where needed' basis.

What he is looking for guidance on is whether mediation is an appropriate and recommended next step with the above information in mind? For instance, will this potentially mean he walks away with nothing or have to concede the company's losses despite him being self-employed? Alternatively, would he be better advised to proceed with taking it to court? Or would the court look on this as needless use of court time and put him at a disadvantage?

Any other advice or guidance would also be gratefully received.

[Leigh2023]

I forgot to mention a letter of Intention was issued to the company on the 31st of August notifying them 'due to the contractual relationship between XXXX Ltd and us we are entitled to be paid for this work/services provided. If this is not done it will amount in law as being a breach of this contract and we will commence legal proceedings against XXXXX Ltd This is payable by 15/08/23'

[atticus]

Mediation works if the other party is willing to engage with the process. Offer it and see. If the other party does not agree to mediation, then the court route is the only option.

[Leigh2023]

Thank you for replying.

Apologies, my post might not have been as clear as it might've been. The other party is seeking mediation. I'm wondering what are the implications of this in that is it typically a process of offers and counter offers, with those overseeing it having the privilege of making a decision on what is an suitable offer that should be accepted?

Also, will they weigh up the factors and potentially decide the full amount be paid, or is the simple fact both parties go through to mediation accepting that an amount lower than the claimed amount will be paid? This may be a problem if so as, knowing my Dad, he wouldn't accept anything lower than what he is claiming. Unless a judgement is made where he resigned to of course.

[atticus]

Mediation is a process of attempting to resolve a dispute by finding an agreement that is acceptable to both parties. Almost invariably this will involve each party giving some ground.

It is essential that your father takes a long hard look at the grounds on which his claim is being contested. These need to be carefully assessed and evaluated. Is an uncompromising stance really justified? What are his areas of risk in the case?

He also needs to understand what would be involved in taking a case to a full hearing. This would include: length of time; money that will need to be spent; his own time devoted to the case. Also, is there a risk that the defendant will not be able to pay at the end of that process? Your father should consider whether there are advantages to being paid a reduced some at an earlier stage.

The things I have described in the last 2 paragraphs are often referred to as "litigation risk". Please understand that there is almost always risk in litigation. There is always a way that things can go wrong. That in itself can be a good reason to compromise.

You and your father should read up on mediation. Use your search engine.