Consumer Law, Warranties employer ends contract, but uses my designs without paying me

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moviedude88

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I have a signed contract with a Start-up to develop their logo and website. Contract example:

-Nov 30, I present prelim. design. Start-up CEO decides to use my services to complete the designs or not ("go or no-go" deadline defined in contract). Pay me 1000 shares
-Dec 30, I present draft designs (contract defines "draft" term). Pay me 2000 shares
-Jan 30, I present final designs. Pay me 3000 shares

So on Nov 30, the CEO likes my designs and chooses to continue with the rest of the contract. On Dec 15, I give CEO draft designs (which are actually near "final design" quality). CEO claims he doesn't like my work and it's not even a draft; claims it's garbage. Terminates contract & willing to pay only 1000 shares for work up to Nov 30.

In Feb., he uses all my logos and designs AS IS. He has not even paid me my 1000 shares yet.

QUESTIONS:
1) Did he breach contract by ending the contract early, even after he decided to use my services on the "go or no-go" decision date? (no other termination clause in the contract we signed) How many shares am I entitled to?

2) Does he have rights to use my logos/designs for his business, esp. after he claimed my work was worthless to him? Do I have any legal right to say that he can't use my designs?
 
I would sue this person in small claims court.
 
I have a signed contract with a Start-up to develop their logo and website. Contract example:

-Nov 30, I present prelim. design. Start-up CEO decides to use my services to complete the designs or not ("go or no-go" deadline defined in contract). Pay me 1000 shares
-Dec 30, I present draft designs (contract defines "draft" term). Pay me 2000 shares
-Jan 30, I present final designs. Pay me 3000 shares

So on Nov 30, the CEO likes my designs and chooses to continue with the rest of the contract. On Dec 15, I give CEO draft designs (which are actually near "final design" quality). CEO claims he doesn't like my work and it's not even a draft; claims it's garbage. Terminates contract & willing to pay only 1000 shares for work up to Nov 30.

In Feb., he uses all my logos and designs AS IS. He has not even paid me my 1000 shares yet.

QUESTIONS:
1) Did he breach contract by ending the contract early, even after he decided to use my services on the "go or no-go" decision date? (no other termination clause in the contract we signed) How many shares am I entitled to?

2) Does he have rights to use my logos/designs for his business, esp. after he claimed my work was worthless to him? Do I have any legal right to say that he can't use my designs?

I re-read this and got confused.

Do you now have 6000 shares?
 
To clarify:

I now have 0 shares. He has not yet sent me any stock option purchase agreement even after ending our contract. I have, in writing, that he is willing to only pay me 1000, but I have yet to receive the signed shares. Then I recently caught him using all of my designs and logos as his website for the company. I think he actually likes my work, but is trying to scam me out of paying me the full # of shares by claiming he doesn't like my work and ending the contract early.

1) can I stop him from using my designs until he pays me? he's stealing my work without paying for it.
2) can i sue for breach of contract since he decided to use my services during the "go or no-go" deadline date? My contract says the below. there are no other "termination clause" in the contract.

"Preliminary design of website, new company logo and MS PowerPoint template with several options presented to XX by Nov. 30th, 2006. When the preliminary design is presented, XX will choose to 1) accept the design and carry forward by having Consultant implementing it, or 2) reject the preliminary design while providing feedback to Consultant so that Consultant can incorporate that feedback into a second (and/or third) preliminary design, or 3) decline to have the Consultant complete a given task."
 
You really need a lawyer.
 
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