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About making a contract where you get paid 'first' even if the money goes to the 'bigger company' in transaction

Washington

What is the clause in legality, where if you make a deal with someone, you get paid 'first' as in before they can pay debt, workers, etc... They must pay you, before those fee's and you must and will get paid before they do anything else(as you have deals you made to incur that deal, etc..)

2 replies

Jun 17, 2020
Please send me the name, size, type of projects (commercial, residential, Etc) , and Company, main tasks/work performed, and I will let you know. Thanks.
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Jun 18, 2020
You likely are referring to an agreed priority of payment clause in mutually executed contract. You rights and ability to collect will vary based on the answers to some questions: Query; (1) Did your company do business with another person or company based here in Washington State, pursuant to a written contract with the client that states “the law” for any of these issues/priority rights? (2) Did the party you seek priority payment from sign any agreement to prioritize payment to you ahead of another possible payee?

Typically your rights will be governed by the law of the state where the contract was executed.

Parties do “breach:” agreements all the time; and it would be wise to send to any party that agreed to prioritize your payment to you ahead of another possible payee a Notice and Demand letter whenever a question or payment comes due.

If a party breaches the agreement you contracted with in a Washington you can lawfully seek judgment against that company and its assets here in Washington under Washington law.

Please feel free to contact me directly.
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