How can you enforce payment of fees from your client?

The best method of getting paid in time without having to go through enforcement of fee payment, is regular invoicing and tight credit control. The foundations of proper remuneration must be laid when the appointment is entered into.

If however fees are due and unpaid, you can, with due notice, suspend your services until payment is made. It is possible to terminate the appointment if non-payment is persistent, but the requisite contractual steps must be followed. You can also suspend or withdraw the licence that your client may have to your copyrighted drawings, or exercise a lien over documents sought by your client. A solicitor’s letter before action can also be effective. An alternative to court proceedings is to adjudicate. This is now a right under all professional appointments since 1998, the exception being appointments to residential occupiers – people who live in the home you are working on. The contract must be in writing, or at least include a provision permitting adjudication. It is possible to have such a provision written into an appointment with a residential occupier, but the full implications of adjudication must be explained to the client beforehand.

Adjudication

A legal process whereby a neutral party (adjudicator) reviews evidence from both parties and makes a decision. The decision is not final, but is binding and may be converted into a judgement if necessary.

Arbitration

An alternative form of dispute resolution where the parties refer the dispute to an arbitrator, by whose decision they agree to be bound.

Litigation

A civil action brought before a court and presided over by a judge. A range of court orders may be issued to enforce a right, award damages, impose an injunction, or prevent or compel an act.

Statutory demand

A statutory demand gives a person 21 days to pay the debt. If it expires and the debt remains unpaid, the demand can be followed by a bankruptcy petition.

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