arrgh!! A city just cancld after I got the P.O & paid for the materials!

[SMITHGILLIS]

I sold a job, to do work on a city building for the city. Over the phone I sold a 3000+ job got signed contract and P.O. We are state lisc. but this particular county was expired so I got the county lisc. and permit is pending with the city. Materials arrived this morning and they called and said they were going to save money by having their city inspectors do the work. apparently the inspectors are having trouble staying busy. I did a lot of work between the county, city permitting, bidding, supplier, and customer. how do you handle something like this?

 

[Fulthrotl]

I sold a job, to do work on a city building for the city. Over the phone I sold a 3000+ job got signed contract and P.O. We are state lisc. but this particular county was expired so I got the county lisc. and permit is pending with the city. Materials arrived this morning and they called and said they were going to save money by having their city inspectors do the work. apparently the inspectors are having trouble staying busy. I did a lot of work between the county, city permitting, bidding, supplier, and customer. how do you handle something like this?

well, you have a signed contract. however, you also have goodwill to maintain,
so you keep getting signed contracts...

assuming the material is generic, and will get used elsewhere, put it in stock,
and move on. if it's specialty stuff, and you can return it, there ya go... if
you are out actual costs, it's time to contact the customer to recoup those.

nicely explain to them that you need your out of pocket expenses reimbursed,
and you will then be happy to release them from their contract. have an itemized
bill to present.

whoever is saying "don't let them do the work, we will do it" probably will not
want the hassle, and will just let you do the work.

 

[Mr. Bill]

A signed contract is a great negotiating tool. Does the contract say anything about one party backing out of the deal? Fulthrotl had good advice. Also, if their Inspectors (which I hope have a Master Electrician license) are going to do the labor they still need to buy materials. Which you just happen to have readily available. I'm sure you can sell the stuff to them if you remind them that you have a signed contract and there's no need for them to buy the stuff twice. Might also get some portion of the remaining contract for the time already invested and the lost expected profit.

Who inspects the Inspectors' work?

 

[Dennis Alwon]

Who inspects the Inspectors' work?

Sounds like a conflict of interest to me but I guess they can bring in inspectors from outside the jurisdiction to inspect.

 

[wireguru]

I would offer them the opportunity to purchase the materials in exchange for letting them out of the contract.

 

[growler]

Who inspects the Inspectors' work?

You guys don't really think that the inspectors are actually going to do the work do you. They probably just discovered that they have a couple of electricians in the city lock-up (jail) and hate to see all that free labor going to waste.

 

[Rewire]

This is were a deposit is a good thing to get.

 

[mkgrady]

Read the contract. If there is a clause that gives them the right to terminate the contract for their convienence then you follow whatever that clause says. If that clause doesn't exist then you have a right to perform the contract and get paid. One of the advantages to having a signed contract is that you can count on performing it. They can't just say nevermind unless the contract says so.

 

[JWCELECTRIC]

I would offer them the opportunity to purchase the materials in exchange for letting them out of the contract.

Add another 50% for you trouble

 

[iaov]

I never buy materials without a check in hand!!

 

[480sparky]

If you have a contract, follow whatever portion that deals with termination. If there isn't one, then most likely your state or local laws will have precedence.

Without something in the contract that deals with this situation, you have a signed contract that is legal and binding. Sounds like the city breeched the contract, and you are allowed to seek damages.

Don't just sue, but try to find an equitable way to do this. Selling them your material on a cost-plus basis may be one way.

 

[SMITHGILLIS]

Add another 50% for you trouble

I gave them a call and very sweetly told them I would be glad to sell them their materials and deliver them for free (jobs an hour away) I kept a smile on my face and voice and he melted. He went to his superiors and told them a deal was a deal and that we were doing the work. So we are still on a great standing and will be doing the work at our convenience. So my boss should be thrilled. So much for just being the girl on the other side of the phone I am being proactive! So give me a mountain to climb and I will want a bigger one. I cant take the real credit though it goes to you guys!!!!!!!!!!