We made an ecommerce website for one of the clients. There were some issues in the code - but we worked on it and resolved it. But when we asked for payment, client is saying he will not pay as the issues caused him financial loss. What are my options? Balance is about $2500.00.
The issues he faced - we tried to resolve them asap - when reported to us.
He continues to use the website till now and is getting orders on it.
Is it worthwhile to take any legal action?
You should file a case in smalls claims court as long as your suit will not be more than 5,000 dollars which is the maximum limit in small claims. It sounds like your case has merit. There is a theory in contract law called substantial performance. This means that if you substantially completed the job, and the remaining problems with the site were minor or resolved, then you might be due the full contract amount. It seems as though the site you created is working fine from what you describe above. Simply file a case, and when you appear in court, bring all pertaining documents and proof to show the court. The filing fee is not much, but be ready to dedicate a few nights to sitting in court.