Hello,
I am new here, so hopefully I am doing everything right...I am looking for general advice about my options if a contract requires mediation instead of a lawsuit and otherwise protects them from paying for what they've done.
In a nutshell, I have a small business. I contracted with another business to provide a service for me. When we were working through the contract, I expressed my discontent with some language in the contract stating that I would not hold them responsible even if they messed up (paraphrasing obviously, can provide the actual language if needed), requiring mediation in place of a lawsuit, and capping the amount they'd have to pay as compensation if so ordered. I implored them to take this out or modify it, and they refused. I did extensive research and this is standard language for this type of service in my industry. I needed their service and I needed it fast, so I signed.
Well guess what, they did mess up. Big time. And they attempted to cover it up. All my attempts to communicate with them about this went unanswered. When I sent them an actual report of the losses they caused, they cut off my access to my own data (which the contract states they cannot do) and I immediately terminated my relationship with them.
The losses they caused amount to a hefty sum, and I want to pursue it.
Also potentially relevant, they are located in CA, I am in TX.
I am considering writing them a demand letter laying out my complaints and demanding compensation, but assuming they disregard it or otherwise blow it off, what then? I don't want to take the time to write it and rehash all of this if I really have nowhere to take it, but their screw-ups and their attempts to hide it cost my business $85K+ which is a lot for a business this size. I want compensation.
Any thoughts?
Thank you so much in advance!
I am new here, so hopefully I am doing everything right...I am looking for general advice about my options if a contract requires mediation instead of a lawsuit and otherwise protects them from paying for what they've done.
In a nutshell, I have a small business. I contracted with another business to provide a service for me. When we were working through the contract, I expressed my discontent with some language in the contract stating that I would not hold them responsible even if they messed up (paraphrasing obviously, can provide the actual language if needed), requiring mediation in place of a lawsuit, and capping the amount they'd have to pay as compensation if so ordered. I implored them to take this out or modify it, and they refused. I did extensive research and this is standard language for this type of service in my industry. I needed their service and I needed it fast, so I signed.
Well guess what, they did mess up. Big time. And they attempted to cover it up. All my attempts to communicate with them about this went unanswered. When I sent them an actual report of the losses they caused, they cut off my access to my own data (which the contract states they cannot do) and I immediately terminated my relationship with them.
The losses they caused amount to a hefty sum, and I want to pursue it.
Also potentially relevant, they are located in CA, I am in TX.
I am considering writing them a demand letter laying out my complaints and demanding compensation, but assuming they disregard it or otherwise blow it off, what then? I don't want to take the time to write it and rehash all of this if I really have nowhere to take it, but their screw-ups and their attempts to hide it cost my business $85K+ which is a lot for a business this size. I want compensation.
Any thoughts?
Thank you so much in advance!
