breach of contract

What is the name of your state? What is the name of your state? Pennsylvania

I'm an illustrator and I did a piece for a giant software company (their US office is in CA) and a few months after I delivered the art I inquired about why I did not receive payment yet and basically the guy I delt with at the company said he witheld the invoice and wasn't going to pay because it was late and they couldn't use it...even though he asked me to send them the art. Anyway after discussing the payment, he sent an e-mail saying yes they did agree to pay me $3000. but would I take $1000? (I refused any lesser amount)

I have a lot of e-mails comfirming the company making an offer, me quoting a price, and them accepting. I did a piece for them the previous month and had no problems. Basically it looks like the art director mis-managed the situation and he's just hoping I fade out.

Well, I discussed the situation with a volunteer arts lawyer during a free consultation and she recommended small-claims court, but after the stuff I read on this board I have doubts they'll ever turn up in court here in PA. Does anyone have any advice or info?

"Does anyone have any advice or info?"

1) Anytime you are doing work for someone, especially interstate, make sure you have a written agreement signed by the buyer.
2) And when doing interstate work, be sure to specify the jurisdiction in the event of dispute (naturally, you want it to be in YOUR home court).

As for your specific problem.... your options are:
1) File a suit in your home state and serve them in California. They will either: file a motion for change of venue (unlikely), no show and you get a default judgment (still unlikely), or file a motion for dismissal citing the jurisdictional issue, or
2) File a suit in California. And no, your expenses are NOT covered unless stipulated in your written agreement, or
3) File a suit in Federal court.

Halket said:

"Does anyone have any advice or info?"

1) Anytime you are doing work for someone, especially interstate, make sure you have a written agreement signed by the buyer.
2) And when doing interstate work, be sure to specify the jurisdiction in the event of dispute (naturally, you want it to be in YOUR home court).

As for your specific problem.... your options are:
1) File a suit in your home state and serve them in California. They will either: file a motion for change of venue (unlikely), no show and you get a default judgment (still unlikely), or file a motion for dismissal citing the jurisdictional issue, or
2) File a suit in California. And no, your expenses are NOT covered unless stipulated in your written agreement, or
3) File a suit in Federal court.

Click to expand...

My response:

Slight correction, Steve. Our writer cannot satisfy Federal diversity. Therefore, the Federal District court cannot be conferred with jurisdiction to hear our writer's case.

Statute (28 USCA § 1332):

The basic diversity jurisdiction statute provides:

"The district courts shall have original jurisdiction of all civil actions where the matter in controversy exceeds the sum or value of $75,000, and is between:

• citizens of different States;

• citizens of a State and citizens or subjects of a foreign state;

• citizens of different States and in which citizens or subjects of a foreign state are additional parties; and

• a foreign state, defined in section 1603(a) of this title, as plaintiff, and citizens of a State or of different States." [28 USCA § 1332(a)]

Our writer readily admits that his contract is only for $3,000.00; which is $72,000 short of the Federal minimum for diversity jurisdiction.

I would suggest that our writer call the Small Claims court in the County where the defendant does business, and then ask for a Small Claims forms packet, fill out the forms and mail them back to the court with his filing fee (I think it's $23.00).

It would be better for our writer to actually fly out to California to attend court - - the reason being is that the California court already has jurisdiction over the defendant and, undoubtedly, the defendant already has bank accounts, real and / or personal property, and other valuables in California - - again, already under the jurisdiction of California.

Yes, it will cost about $600.00 to accomplish this task (travel, food, ground transportation, hotel room), but he will also be sending a message to the defendant that this Plaintiff, and anyone else, will not be taken for a ride, simply due to "distance."

Good luck to our writer.

IAAL

Of course you are correct. I forgot to consider the value!!

Halket and IAAL,
Thank you very much for your time!
Well today I did file my small claims papers with my local District Justice. I'm worried they will try to have it dismissed as Halket pointed out as a possibility. I don't know how it will play out...basically I can't afford a lawyer so I'm at a huge disavantage.
I also wonder...since I had did a piece for them the previously month without a hitch, does that set some kind of precedent (spelling?) in my favor?
I've done record covers for years and thought the music business was pretty low but its nothing, compared to gaming industry...they have no respect for the art either.

Thanks again.

iron_mole said:

Halket and IAAL,
Thank you very much for your time!
Well today I did file my small claims papers with my local District Justice. I'm worried they will try to have it dismissed as Halket pointed out as a possibility. I don't know how it will play out...basically I can't afford a lawyer so I'm at a huge disavantage.
I also wonder...since I had did a piece for them the previously month without a hitch, does that set some kind of precedent (spelling?) in my favor?
I've done record covers for years and thought the music business was pretty low but its nothing, compared to gaming industry...they have no respect for the art either.

Thanks again.

Click to expand...

My response:

Okay, now that you've filed in your State, and since your State court doesn't have jurisdiction over their bank accounts, property, or anything else, and further assume that you "win" your case, then what do you do to collect when they don't pay the judgment?

I'm telling you, you made life about 10 times more difficult for yourself by filing in your State. You should file it in California.

IAAL

I've been talking to people for weeks about this situation and nobody mentioned filing in CA, but it makes sense.

So there's no way I can collect a judgement?

Thanks,

If you are successful in getting the judgment in your state (PA), you can then domesticate that judgment into California..... then use the California courts to enforce the judgment against the debtors assets there.

Further, California is relatively easy to do (with their standardized downloadable forms, etc.).

I guess since I already filed the complaint here in PA I have to wait and see how it plays out.

Thanks for the valuable info guys.