What are my options as an independent contractor that did not get paid for services rendered?

Asked 7 months ago - Plano, TX

I have a signed contract that states my compensation agreement. I had been getting paid for most of the project and then payment stopped. They said they set up a transfer to pay off the debt they owed however never followed through. I spoke with the company's owner who proceeded to yell and cuss at me refusing payment. I am owed over $10,000.

Attorney answers (3)

  1. Adam Kielich

    Contributor Level 17

    2

    Lawyers agree

    Answered . The first issue is whether you are actually an independent contractor. If you are an independent contractor then you need to look at the remedies available to you under your contract.

  2. Brian W. Erikson

    Pro

    Contributor Level 18

    1

    Lawyer agrees

    Answered . You really need to retain an attorney to review your paperwork and help ensure that you recover your money. If you are owed more than $10,000, the claim could not be filed in small claims court, as the jurisdictional maximum of small claims court is only $10,000.

    You may not even be a legitimate independent contractor. The Texas Workforce Commission has a test for whether or not a person is a real independent contractor or an employee masquerading as an independent contractor. You can review the Commission's test as well as the Internal Revenue Service's test at the following web links:

    Texas Workforce Commission Test for independent contractor:
    http://www.twc.state.tx.us/news/efte/appx_e_twc...

    Internal Revenue Service test for independent contractor:
    http://www.twc.state.tx.us/news/efte/appx_d_irs...

    Since you are in the Dallas area, you may wish to take advantage of my free hour of consultation for new clients. If you make an appointment, please bring copies of your pertinent paperwork.

    Good luck.

  3. Robert Neil Newton

    Pro

    Contributor Level 15

    1

    Lawyer agrees

    Answered . You will need to sue in the appropriate court, which is likely the county court or district court in the county in which you performed the work. I recommend hiring an attorney. Short of suing, I'm not sure whether you have many options.

    The above statements are provided as general information and not intended as legal advice. Each matter has its own... more

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