Forums: Discussions for entrepreneurs and small business.

I would find yourself a lawyer, quite honestly.

And keep googling your name! If they started posting things about you, it would be very hard to erase!

A thought only, as I am not a lawyer.

In the future, use the implicit acceptance language found on many software products and web services providing for implicit acceptance upon some discretionary action i.e. use of the materials submitted.

The language should state clearly that right to use or own the intellectual property, designs, drawings or other materials submitted is conveyed only upon full and unconditional implicit acceptance of the liability for amounts due your company including timely and full payment of your charges pursuant to whatever agreements were previously reached - hopefully papered, and that if they do not agree, they are required to reject and return the work submitted and seek remedy under the terms and conditions of your contract. Furthermore, include a "cure" clause in your contract affording you the reasonable opportunity to redress any claims made in writing within 30 days, without prejudice otherwise to your right to payment provided you cure whatever defect or other contractual obligation that may be alleged and that such warranty does not  relieve them of their obligation either by deferral, setback or offset.

Word it however you like - some of our clients like it formal, some conversational, but always put it in writing and make sure it is signed off on before work begins, and the special acceptance language is conveyed with delivery.

I have used this approach very effectively.

As to the current matter, look up the statutes in your state for what constitutes fraud - it is very narrowly defined in most instances since fraud is a crime, not a tort (torts are governed by common-law and are the subject of civil suit).

Last but not least, the first lesson in international finance is the risk associated with pursuing remedies on foreign soil. It is helpful to clarify jurisdiction or negotiate progress payments subject to Letters of Credit issued in favor of your client should you fail to perform. All complex, but noteworthy.

Good luck!


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Charles L. Johnson, Managing Member
Verve X3, LLC.
4416 Woodland Ride Dr.
College Station, Texas 77845
Main: (979) 633-4578
Cell: (979) 229-8301
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Web-enabled Business Applications? We can help.

Ok, you said this person is using a logo that you designed for him? Can you prove that you designed that logo and stationary? Can you prove that he did aq stop pay on the grounds that he did not recieve the items in question? That is a breech of service agreement. That logo is yours until you sign over the rights and officially say that it is his. The only out he has is by proving that someone else came up with the logo. Take him to small claims court. Make sure the case goes to trial. If it goes to trial, he has very little to stand on.As the designer of that logo, you are the owner until proof is supplied (contract, payment voucher-not canceled, etc.) that you turned over rights to him. Ifyou have proof that you designed the logo, proof that he stopped payment says that he did not recieve or has decided not to accept the work. So if you have proof he is using the logo that he claims he did not recieve then he will be ordered by the court, to pay you for what is owed, plus compensation for the hassles and trying to rip you off. Once the case is heard and judgement is made, get a copy of the judgement and send it to PayPal, BBB and the chamber of commerce in the city/town of this person`s business. Cases such as this in small claims are public after the fact, so nothing can be done legally for you sending a copy of the judgement to these organizations. Now different states may have different laws, so check on it first, but if this person scammed you, it is a good chance he is scamming others.

The only other suggestion that I could give you for future customers is to send a copy first of the logo with a contract detailing that a logo is the property of you/your company until a signed invoice is faxed or mailed to you stating that they recieved the works in question.

Every two years the Graphic Artists Guild puts out a really good handbook (Graphic Designers Guild Handbook) on pricing and ethics. One of the last chapters has sample contracts and invoices that are industry specific. Everythig from websites to book illustrations, logos to multimedia. It gives sample Cease and disist letters, gives advice on what to do before it reaches a level of calling a lawyer and what to do if you do have to resort to taking someone to court. Barnes and Noble are usually good about carrying this handbook in the art book section. If not, check out a local college that has a graphic design class.

With all of my rambling, the most important thing to remember is that if you can prove you did the logo and he is using it after denying payment for not receipt, then the logo is still legally yours.

Hello Sagemedia,

I really think Engraver and VerveX3 have said it all. I`m not based in Canada neither are my in the States but be that as it may, establish the fact the logo is still your property and seek redress in the appropriate court of jurisdiction.

I have a similar case here that i`m currently battling with and i`ll endeavour to use the advise posted by Engraver and verveX3 to my advantage. Knowledge is power but the right application of knowledge gained is dominion.

Sagemedia, i pray the Good Lord will fight for you and there shall be restoration in multiple folds. Just to back up what i`ve said scripturally, the Bible says that "If a thief be caught, he shall be made to payback all that he has stolen in sevenfolds".

God bless you.

Chidera

I`m sorry that happened.  I don`t have much to add except to say I know how you feel.  I had someone buy a book from me last month and then the day after delivery, they filed a fraud claim against me.  Interesting that they waited until the book was delivered to do that.  Luckily, the book was trackable and had been sent to the address on the account.  They lost.  I can`t imagine how some people can sleep at night...

~Kim

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Thanks and have a blessed day!
Sincerely,
Dennis Thomas, Jr.
President
dennis@AlphaCardServices.net
www.AutomaticResidual.com
www.AlphaCardServices.net
Inc. Magazine # 99 Fastest Growing Private Company in America
817.232.8300
Alpha Card Services
4040 Fossil Creek Blvd. Suite 210 Ft. Worth, TX 76137

Man... I feel your pain...
I had a similar situation when I started the business. As a matter a fact it was my third sale and I designed and created business cards for a beauty salon called Escape Salon, they had 8 employers and after going through the trouble of designing and printing the cards she put a stop payment to the check 10 days later (its legal) after I had charged her, and basically spent the money on funding my small business.
What amazed me the most was, when I was trying to close the deal she started giving me a sermon about how I should obey gods word, blah, blah blah..
and if I didn`t I would never grow spiritually and blah blah blah..
So after being $500.00 bucks short, I decided to contact the Los Angeles Check fraud division. I am not sure if you have something similar where you live. Or what you can do is contact the States Fraud Check Division where your customer is and they will resolve the issue for you.
Another thing you can do is Sign up to Duns and Bradstreet and use their collection service. What you can do is trash their Business Credit Score. Im pretty sure they are going to depend on some sord of credit in the near future.
and it will show up on D&B as a "Company is Having Monetary hardship" on their Business Credit Profile.
Or get a lawyer and have them pay all your fee`s if you win the case.
What you need to do is make a contract that the customer signs and Stop Using Paypal to conduct your business.
Use something like world pay or Make them send you a Wire transfer or Money order.

MY SLOGAN TO PAYMENTS NOW ARE " I DON`T CARE IF YOU`RE A NUN, NO PAYMENT NO SERVICE" OH AND DON`T TRUST THE PREACHER, TRUST WHAT YOUR WALLET TELLS YOU"


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Edgar Monroy
Web Developer / Owner / Consultant
When starting your own business the need to "know-how" is greater than money!
http://www.nuevolution.net