Contractors typically get paid through invoices. After completing a project or reaching a milestone, sending an invoice to the client with details like the work done, the hours worked, and the agreed-upon amount due is standard practice. Payment terms should be clearly stated in your contract. 

You have two legal options if your client fails to pay you after receiving insurance money for your services. Filing a mechanic’s lien allows you to place a claim on the client’s property. You can also sue for breach of contract. Each of these legal actions has strict filing deadlines. It’s advisable to consult an attorney to ensure these deadlines are met. 

In Colorado, a contract typically allows for a 72-hour cancellation period during which the client can rescind the contract and receive a full refund of any deposit. However, specific cancellation policies may vary depending on the type of contract and agreement between parties. Reviewing a contract’s terms with a knowledgeable attorney can help you better understand the exact cancellation rules and any applicable exceptions. 

You can face serious legal consequences if you fail to include essential clauses in your contract. One critical example is the risk of invalidating your contract. Under Colorado law, omitting essential terms can deem a contract unenforceable in the eyes of the court. 

Enforceability issues may also arise if the individual parties interpret necessary terms within the contract differently. If further negotiations are required to resolve the intent of essential terms, the court will likely declare the contract unenforceable. 

It’s not uncommon for contractors to encounter payment issues. One crucial rule of thumb is to always include clear and enforceable payment terms to ensure you're paid fairly and on time. These clauses detail the 'who, what, when, and how' of payments and the remedies for non-payment.

For your payment terms to be enforceable under Colorado law, clearly define key aspects such as price, when payment is due, and the specific services or goods rendered.

You should also include "pay-when-paid" or "pay-if-paid" clauses to address the timing of payments and mitigate the risk of non-payment. If your client hasn’t been paid on time themselves, this clause protects you by governing the timing of payment and requires payment within a reasonable time. 

A termination clause is also essential. It allows you to pause services or terminate the agreement if payment isn’t made within a specific timeframe. You should have terms that address schedule adjustments and compensation for resulting delays. This provides adjustments to the contract timeline and compensation for damages caused by the delay.

Additionally, a non-waiver provision will preserve your right to enforce payment terms even if you previously overlooked a late payment. Failing to include this clause can lead to a client exploiting your goodwill.

Outlining essential terms in your contract is vital to ensuring its enforceability. To confirm your payment clauses protect your business, consult an experienced Denver business representation attorney.

You open yourself up to significant legal and operational consequences if your business doesn’t have general liability insurance. These consequences can include civil penalties, cease and desist orders, and suspension or revocation of licenses. You even run the risk of losing the right to run your business.

An experienced attorney can assist you with the following liability insurance-related needs:

• advise you on legal requirements

• help you explore alternative solutions

• address liability concerns

• help you navigate insurance procurement

• assist in preparing necessary documentation

• mitigate liability risks

• ensure contractual protections

We strongly advise business owners not in compliance with general liability insurance requirements to work with an attorney as soon as possible to avoid further legal repercussions. To discuss your options, contact a Colorado business representation attorney. 

If a client is threatening legal action against you or your business, contact a business representation attorney. This ensures your best chance of success in resolving the matter. 

Your attorney can provide effective legal strategies, such as offering advice to avoid future legal action by ensuring compliance with legal obligations and addressing potential legal risks. They will represent you in court or other legal proceedings by preparing pleadings, responding to discovery requests, and negotiating settlements. A business representation attorney will also execute protective measures to safeguard your interests and ensure compliance with ethical rules.

Throughout the process, your attorney will keep you well informed about the status of your case, quickly comply with reasonable requests for information, and explain the facts of your case with as much detail as necessary for you to make informed decisions. They will ultimately act in the best interest of your business and provide you with critical support. 

If a client is threatening your business with legal action, don’t wait. The sooner you seek counsel, the better your outcome will be. Reach out to one of our expert business representation attorneys today.