Where do I stand legally?

[Paul2412]

I did some business with a company which involved some work to a software product I have. Over the course of the project, the specification changed quite dramatically which led to me spending more hours than I budgeted for.

 

I then got to a stage where I refused to do any more additional work until I got paid, however the business decided that they wanted to use one of their own developers to complete the work.

 

We agreed that I will send them the existing source code, and in return I'll receive payment to the equivalent of the existing quote.

 

I sent the source code over, together with the invoice.

 

Since sending the invoice, I've had no contact from the business at all (it as now been a week and 4 days since sending the source code). 4 emails have been sent chasing the payment.

 

They now have the source code without payment, which could be effectively classed as stealing. Where do I stand legally if they do not send through the payment?

[dawny1970]

You own the source code, either they pay as per the contract or its the small claims court, but you have to go through a process before you can start that course tho

[L00b]

They now have the source code without payment, which could be effectively classed as stealing.

No. It is, at best, a breach of contract. That is the contract:

We agreed that I will send them the existing source code, and in return I'll receive payment to the equivalent of the existing quote.

They haven't given you consideration (payment). Did you also agree a payment term? (deadline)

Where do I stand legally if they do not send through the payment?

You should own the copyright in your own code (subject to checking contract) and, if they are not licensed (expressly, in writing) under your copyright, then they have a copyright-infringing copy of your code.

 

So you potentially have two causes of (Court) action. Breach of contract and copyright infringement.

 

Depending on the amount involved, the SCC is relevant for the contract, but unlikely to hear the copyright infringement issue. You're looking at the Patents County Court or High Court for that one.

 

Go take legal advice.

 

EDIT - note that, even if they paid you, it may still not give them ownership of your copyright (again, subject to checking original contract). They would still need a license.

[Paul2412]

Thanks, they never asked for any kind of license from me.

 

I guess constantly phoning them and emailing them about it is the first step. When is usually an acceptable time period to wait before taking further action?

[L00b]

When is usually an acceptable time period to wait before taking further action?

In my book, 7 days after reminder after term agreed (e.g. payment at 30 days > reminder at 37 days > letter before action at 44 days, giving 7 days to comply, then passed to sols/debt recovery after that or directly onto SCC).

 

But then I'm an unrepentent baby-eating capitalist

[Paul2412]

In my book, 7 days after reminder after term agreed (e.g. payment at 30 days > reminder at 37 days > letter before action at 44 days, giving 7 days to comply, then passed to sols/debt recovery after that or directly onto SCC).

 

But then I'm an unrepentent baby-eating capitalist

 

Probably an issue not putting the payment terms on the invoice!

[Chez2]

Probably an issue not putting the payment terms on the invoice!

 

Don't you put terms and conditions or at least payment terms on all quotes, contracts and invoices?

[Dronfielder]

Is there no way you can get into the system, change the code and shut it down?

[steveroberts]

Probably an issue not putting the payment terms on the invoice!

 

No written term means immediate payment (assuming you put a date on the invoice?).

 

You need to pursue them through the courts.

 

I would also write to them stating they are not allowed to use the source code until you are paid...it might prompt them to pay you.

 

A tip; NEVER hand over anything until you've been paid. Make it clear in your proposals, quotes and invoices that all copyright/IPR etc belongs to you until you are paid...and of course put terms and conditions on your invoice too.

 

Hope it works out.