Loss of business suit for canceling site due to non-payment

[magicfingers]

- We produced two elaborate websites for an out of state client.
- The sites are very reliable.
- Client made some payments but owes $10K for change orders and maintenance requests.
- Our original invoice stated that we can cancel the site if payments are more than 30 days late.
- We also issued them a software license that has additional legal info about the terms and conditions.
- I have been paying the hosting despite their slow pay status.
- We have determined that we no longer want them as a client.
- We sent them a certified letter giving them 30 days notice that we would suspend access to both of their sites.
- They are threatening a loss of business suit if we take the site down.

Questions:

1) Does their threat to sue have any merit?

2) My intention is to pursue them in court to collect the debt. Are there additional damages that I can sue for?

 

[jharris352]

They have no merit in their suit. They didn't pay, you can take the site down. As for additional damages, suits are not for making money they are for recouping what you lost. You can sue for whatever you lost. After the judgment interest will be applied from the date of judgment at a rate of 9%-14% depending on your state laws.

 

[magicfingers]

Thanks for ur reply. I am still uncertain about liability.

I have seen some posts that say u can turn a site off for non-payment of hosting. But cannot turn a site off for unpaid programming.

Turning a site off that has ecom or possibly a site that allows member logins may also be factors that affect liability.

Some folks say u must pursue programming debt thru a court action or collections.

Does any of this clarify or change ur opinion?

 

[magicfingers]

Thanks for ur reply. I am still uncertain about liability.

I have seen some posts that say u can turn a site off for non-payment of hosting. But cannot turn a site off for unpaid programming.

Turning a site off that has ecom or possibly a site that allows member logins may also be factors that affect liability.

Some folks say u must pursue programming debt thru a court action or collections.

Does any of this clarify or change ur opinion?

 

[jharris352]

I can't imagine that you would have a great deal of liability. You can't take someone's work and not pay for it. If you take them down i would simultaneously sue them. Or sue them without taking them down.