Not getting payed the updated rate

[Honest entrepreneur]

Jurisdiction

North Carolina

I own a cleaning business and told the property manager (with several weeks notice) that my rates where going up on a certain date, or that alternatively, I would stop cleaning. They (the property manager) agreed to the new rates (I have that digital conversation) so I continued cleaning the property based on this agreement after the date lapsed.

However, the property owner is now saying that they never approved the new rates, that the only thing they approved are the original rates. They are paying only at the old rates and I am out several thousand dollars. I only learned this when they sent a check in the mail (which was late). By then they had found another cleaning company and had fired me after several cleans at what I thought was the new rate. I believe they were simply buying time to find a replacement for me, which is OK, but they are not honoring the rate that made me stay longer so they could silently do that.

What can I do? Small claims court? Is there a good legally worded message I can send them to convince the owner to send what they owe me? I assume the property manager is a bona fide employee, and the agreement between us is binding, and that the property owner cannot claim ignorance and not pay the new rates. Otherwise, owners could use this claim of ignorance a loophole all the time and short people money.

Thank you so much for anyone who takes the time to answer. I'm a new business owner putting a lot of hard work into this.

 

[Zigner]

I own a cleaning business and told the property manager (with several weeks notice) that my rates where going up on a certain date, or that alternatively, I would stop cleaning. They (the property manager) agreed to the new rates (I have that digital conversation) so I continued cleaning the property based on this agreement after the date lapsed.

However, the property owner is now saying that they never approved the new rates, that the only thing they approved are the original rates. They are paying only at the old rates and I am out several thousand dollars. I only learned this when they sent a check in the mail (which was late). By then they had found another cleaning company and had fired me after several cleans at what I thought was the new rate. I believe they were simply buying time to find a replacement for me, which is OK, but they are not honoring the rate that made me stay longer so they could silently do that.

What can I do? Small claims court? Is there a good legally worded message I can send them to convince the owner to send what they owe me? I assume the property manager is a bona fide employee, and the agreement between us is binding, and that the property owner cannot claim ignorance and not pay the new rates. Otherwise, owners could use this claim of ignorance a loophole all the time and short people money.

Thank you so much for anyone who takes the time to answer. I'm a new business owner putting a lot of hard work into this.

I'd send a copy of your proof of their acceptance along with your demand letter for the remaining amount due. Beyond that, court may be your only option.

What state did this occur in and how much do you feel they still owe you?

 

[Honest entrepreneur]

I'd send a copy of your proof of their acceptance along with your demand letter for the remaining amount due. Beyond that, court may be your only option.

What state did this occur in and how much do you feel they still owe you?

Thank you for your answer. This happened in North Carolina, and the difference in rates is $2700.

To re-iterate there are two other people involved + me. (1) the property manager hired by (2) the property owner, and (3) me. Person (1) approved the new rates (I have documentation), but person (2) is refusing to acknowledge the agreement.

Thanks again!

 

[Zigner]

It sounds like the property owner is claiming that the property manager didn't have authority to revise the agreement. You are going to need to either negotiate a settlement, perhaps at a reduced rate, or head to court.

 

[Honest entrepreneur]

Thanks so much for the advice. If I go to small claims court do you think it will be more likely that I win?

 

[zddoodah]

Thanks so much for the advice. If I go to small claims court do you think it will be more likely that I win?

There is no way to predict the outcome of a case based only on one side's recitation of facts and without seeing any documentary evidence.

 

[Honest entrepreneur]

There is no way to predict the outcome of a case based only on one side's recitation of facts and without seeing any documentary evidence.

Understood. Thanks everyone!

 

[army judge]

Thanks so much for the advice. If I go to small claims court do you think it will be more likely that I win?

The issue I see that doesn't help you is you have no way to prove the client accepted your new terms and rates.

Going forward, its often wise to reduce everything to the written word, as in contract.

You make sure the client agrees to the services by obtaining the signature of a person authorized to contract services on behalf of the prospective client.

You sign as an official of your business.

Each party is provided signed copies of the contract.

Without reducing EVERYTHING to writing in the form of a contract, you risk encountering this level of madness over and over.