CFH and Late Payers

[Martin Waxman <martin -at- waxman -dot- net>]

Rule number 1 in contracting: If it ain't written in the contract, it ain't 
part of the deal.
Rule number 2 in contracting: Have a clause which says that any change in 
scope from the original contract or agreement, is required in writing from 
the client, and requires a price and time re-negotiation.
Rule number 3 in contracting: Get client sign-off on statements of work and 
all milestones. Do not deliver the next phase or milestone until signoff.
Rule number 4 in contracting: Avoid fixed price work.  You will always lose 
your ass or have to bid so high to cover unforeseen events that you will 
lose the bid.

I once worked as a branch manager for a consulting firm (no longer in 
business) in New York City.
Owners insisted that contracts or agreements for project work, state as 
little as possible, and be as vague as possible.
They felt this gave them an advantage in lititgation.  They had sharks for 
lawyers on retainer, sued immediately at any payment balking from clients, 
and stopped work if payment didn't arrive on time.

I learned some hard lessons from both sides of the issues on that job.


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