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Are there any laws for these questions California

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  • Are there any laws for these questions California

    I use to own a service company that had a contract with a major retailer and they did a lot of crooked things. So I was wondering if there are any laws for these types of behavior:

    Contractor abuse? ( they used to make us get on conference calls and scream, yell and humiliate their contractors for poor performance)

    Forcing work on a contractor? ( they would overload us on work, then back charges us if we were late to a customers house or if quality wasn't up to code)

    Deducting money from our invoice and not submitting documentation of what they deducted?

    Premeditated Fraud? ( the executives planned a meeting and gathered all the contractors and gave a pitch to all of us, so all the companies would renew a contract. Well they ended breaching the contract and taking hundreds of thousands of dollars)

    Also if Fraud is committed, does that void the complete contract?

    With all this, if you didn't comply they would always threaten to cancel your contract.

    Any help would be great

  • #2
    In contract law, it is the contract that defines the relationship as long as it does not require illegal action or activities. As such, your contract with the company rules. If they are requiring activity or performance from you that is not a requirement of the contract, you do not have to do as they say. Things like paying less than your invoiced amounts depends entirely upon the terms and conditions of the contract.

    However, these are all civil matters. You won't find a law against which you can file charges and expect a government prosecuter to fight the case for you. You would need to file a civil action for breach of contract and be prepared to prove that they have not met the contract terms. In some cases, breach of contract MAY rise to the level of fraud, but it would be difficult to prove and even more difficult to find a prosecuter willing to pursue it.

    All that being said, the life of a contractor in any field, in which the contractor is a relatively little guy compared to the customer, can be very tough. If you try to hold the customer to the letter of the contract and your services are not unique, the customer may simply not renew your contract and deal in the future with your competitors as suppliers. Your customer appears to be aware of that and is using that fact to keep its suppliers in line.
    Please post questions on the forum rather than sending me a private message or email. That way others who have similar issues have access to the discussion.


    • #3
      Contractor Question

      These may all be reasons that you would use to defend yourself if they went ahead and filed suit against you for failure to perform under your contract. They may also be reasons for you to try to get out of your contract. But if you wish to keep working with these people there really isn't much you can do.

      What is it that you're looking to see happen?


      • #4
        And this thread is from January....
        The above answer, whatever it is, assumes that no legally binding and enforceable contract or CBA says otherwise. If it does, then the terms of the contract or CBA apply.