Not getting paid

M

mikezip007

Active member
This is a hypothetical:

I have my deal memo, the shoot is done, final product is delivered.... but there's no payment! I have sent a reminder through email notifying them that they have an outstanding payment. I have also called them but they tell me "it's on the way" blah blah blah but there's still no money! How do I get paid?

I didn't get paid directly after the shoot because they are net 30 and don't issue checks until 30 days after the invoice is submitted.

What would be the proper action at this time?
 
Depends on the client. Here are some questions to ask yourself:

1. Have you done work for them before (and been paid)?
2. Is the client a large company, or government agency?
3. Is the client new and/or an individual or small company.

If the answer is yes to either of the first two, I'd wait at least another 30 days. You can
give them polite reminders, but if they've paid you before there's no reason to think they
won't again. If it's a large company or government agency, they're not going to mess around
with relatively small amounts, particularly if you have a contract or deal memo as you call it.

If it's the 3rd option, and it seems like they're blowing you off, I would change the tone
of the conversation. Not rude, a little more than gentle pressure.

I've experience both scenarios. I have a lot of government contracts that are net 30 even 60.
Sometimes the invoice just gets lost in the bureaucracy. There may be a delay of 30 days, but
I always know I'll get paid. Plus they'll be hiring me again, so I don't want to be too aggressive.

On the flip side, I had a client that forgot I existed the moment the job was finished. Every
email or phone call was answered with "I'm waiting for the client to pay me" or "You'll have
it by the end of the week". After an additional month of waiting, I sent an email that went
something like this:

"Dear Mr. Smith. It's been over 10 weeks since the project has been completed and I have
still not received payment. Our agreement was that you would pay my invoice within 30
days. Though I have tried to be patient, I'm afraid I can't wait any longer and need you
to settle my invoice this week. If not, I'll have to take additional action. I'm sorry it's come
to this, as I really enjoyed working with you and still hope we'll have the opportunity to
work in the future. Please contact me at this number. Sincerely."

This tone has worked for me. It's gives them a kick, without burning any bridges. Of course
after this you'll be sure to get this client to pay before delivery. Or at least 50% up front.

Peter
 
But what about after the pleasant emails? Legal action. All of that could cost thousands more than the payment waiting to be received. My question extends to passed all of that.

Do I, as a small videographer & editor, really have any pull to guarantee that I get paid?
 
Yes, but you already missed your chance.

If you don't know and trust the client, don't deliver until payment is received. Delivery and payment should happen at the same meeting.
 
What about when you freelance for a production company? They have a shoot and hire you and typically don't pay until 30 days afterward. After all is said and done, what do you do if you don't get paid?
 
If it's a company they rely on reputation to some extent, so hopefully they wouldn't want you to be pissed and talk about them to other videographers or clients as people who don't pay.

But sometimes people don't pay. It sucks, but it happens. Keep on the pressure and try to convince them, but it doesn't always work. True in any business.

You could take them to small claims. Which isn't very expensive. For a company that would be a big deal, a lot of bad PR.
 
Last edited:
mikezip007 said:
But what about after the pleasant emails? Legal action. All of that could cost thousands more than the payment waiting to be received. My question extends to passed all of that.

Do I, as a small videographer & editor, really have any pull to guarantee that I get paid?
Click to expand...

lol

That's what people who don't want to get sued tell you. As someone who HAS been sued by an ex-girlfriend (oh yes that crazy woman did -- and she WON! I bought her an SUV and then took it back and she sued me and I ended up having to give her the thousands of dollars in difference. Oh yes the judicial system is that insane), suing someone costs next to nothing. Max is about 100 bucks and you get that back in the lawsuit.

If it's over 5K it's a different tier, but probably not much more expensive. If you have any sort of contract you'll win no problem and get your money.
 
If you've passed the polite/not so polite email stage, small claims court is the way to go.
It's very inexpensive, and there's lot of online resources to help you with the process.

If you have a contract, or some sort of correspondence that confirms your booking, it's really
a no-brainer. The only problem is it will take time, maybe 6-12 months before it's settled.

In Canada, we always go to mediation before trial, which is usually around 6 months from the
time the claim is filed. If there's no agreement, it goes to trial - maybe in another 6 months.

As Cassius said, if the company you worked for cares about their reputation at all, they won't
want a law suit. Threaten that you'll go to small claims court if they don't pay - don't be
subtle. I'd suspect 9 times out of 10 they'll pay. If not, go ahead with the law suit and be
sure to warn others about the company.

Good luck!

Peter
 
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