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What paperwork needs to be filled out to protect our business

California

A customer of ours kicked us off a job site because she wasn’t happy with the work. We were only halfway through our obligated contract and the customer has paid us in full up to this point but doesn’t want us back. What paperwork can i fill out to protect us saying our work is done there and we are no longer responsible for anything that occurs after we leave. Don’t want the customer coming back to us saying there’s more work that needs to be complete. She’s terminating the contract

1 reply

Apr 19, 2018
That's a fair question. When a customer has paid in full but terminates the contract, it's a realistic fear that the customer might call back and require more work. One way to combat this possibility will be to get the termination in writing and to include language in that termination letter stating that payments are up to date and that all work required up to the point of termination has been satisfactorily completed. If a customer is reluctant to provide such a termination letter, a terminated party could likely offer to exchange a lien waiver for it. Honestly, that might be in both parties' best interest - the customer is likely looking to avoid the possibility of payment claims on the project, while the terminated party wants a clean cut from the project so they can move on with their business. If an owner refuses to provide language in writing that states no more work will be requested, sending a notice that all work is complete and that the job site will not be returned to might also be effective. Further, it would be wise to preserve any communications regarding prior work and leading up to the termination - if a customer does request a return to the job site, they could be valuable to remind the customer that the work project has been closed.
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