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How interdependent are different POs from the same outsourcer?
Thread poster: Mikhail Kropotov
Charlie Bavington
Charlie Bavington  Identity Verified
Local time: 13:19
French to English
Eyebrows raised Sep 3, 2015

Mikhail Kropotov wrote:

Due to your [inadequate performance], we lost a very important client resulting in having to forfeit payment for other translations (other languages) as well as losing tens of thousands of dollars in future revenue. ... The financial losses we incurred greatly surpass the amount of your invoice."


There is undoubtedly an argument that secure and certain future revenue, if now lost, could qualify as liquidated damages and give rise to a penalty under the right (or wrong) circumstances (see the post I linked to above and follow the links for more details).

How reasonable it would be to apportion full and entire responsibility and thus financial liability on to you would no doubt make for an interesting debate, given that more than one language pair is involved. You'd be entitled to demand some fairly solid evidence. And if they really think they've lost tens of thousands, and they really think it's all your fault, I wonder why they're not taking matters a little further (geography, maybe?). Combined with their apparent willingness to write off receivables to which they are presumably fully entitled, and the nonsense about not billing within 3 days, I'm smelling a small rat dodging about between the aspects that are actually valid. I'd be interested in their explanation for writing off that money.

And it should be "Owing to..."!

[Edited at 2015-09-03 17:57 GMT]


 
Mikhail Kropotov
Mikhail Kropotov  Identity Verified
Germany
Local time: 14:19
English to Russian
+ ...
TOPIC STARTER
Indeed Sep 3, 2015

Charlie Bavington wrote:
Mikhail Kropotov wrote:
There is undoubtedly an argument that secure and certain future revenue, if now lost, could qualify as liquidated damages and give rise to a penalty under the right (or wrong) circumstances (see the post I linked to above and follow the links for more details).


I did peruse the post you linked to and I thank you for publishing it. It was very informative (for me) and a great read.

Charlie Bavington wrote:
And it should be "Owing to..."!


This would be my thoughts exactly, if not for my predicament.

I would love to find out more about the agency's detailed reasoning, but I doubt I will be able to elicit much more out of them without being represented by a legal counsel, or at least doing considerable research and then continuing to represent myself in a very legally strict way.

[Edited at 2015-09-03 18:08 GMT]

[Edited at 2015-09-03 18:10 GMT]


 
Charlie Bavington
Charlie Bavington  Identity Verified
Local time: 13:19
French to English
Predicament indeed Sep 3, 2015

Mikhail Kropotov wrote:

I would love to find out more about the agency's detailed reasoning, but I doubt I will be able to elicit much more out of them without being represented by a legal counsel, or at least doing considerable research and then continuing to represent myself in a very legally strict way.


Quite so. It certainly seems that if you draw too much attention to the legal flaws in some of their reasoning, e.g. not paying for perfectly acceptable previous work, the billing deadline issue, you risk drawing their attention to other legal avenues, e.g. the possibility of your liability for their future losses, albeit probably difficult to enforce, if indeed it exists.

Despite their clumsy way of expressing themselves, perhaps they are aware of this situation at some level, and are attempting to set off what they know they owe you against what they suspect they might potentially be able to claim against you (assuming of course, their assertion the client is lost and its all your fault is in any way accurate, which is a big assumption). I have translated contracts with such set off clauses, although I don't think I've signed any in agency agreements.

I can't think of any obvious resolution at the moment, unfortunately..... It certainly seems a situation that is unlikely to be solved by simply sending any kind of formal notice to pay.


 
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How interdependent are different POs from the same outsourcer?







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