Go Legal recovers full payment and legal costs after immediate termination without notice was challenged
Problem:
Our client, a specialist consultancy company, was contracted to deliver technical services to a UK tech firm. The agreement included a standard four-week notice period for early termination.
Midway through the assignment, the client’s contract was terminated without notice, with the company attempting to rely on a clause allowing for immediate termination in cases of alleged negligence. The client strongly denied the allegations and had already raised a final invoice of £14,400 (inclusive of VAT) for the unpaid notice period.
The company refused to pay, citing vague performance concerns, leaving the client without income and at risk of financial loss. Our client urgently needed legal assistance to recover the outstanding amount and clear their name.
Outcome:
Go Legal was instructed and took immediate action. Within three weeks of instruction, we negotiated a settlement of £10,560, which included:
- A significant portion of the unpaid notice period;
- 100% of the client’s legal costs, fully covered by the opponent.
The matter was resolved without the need to issue proceedings, saving the client time, cost, and stress while ensuring they recovered their due.
Our client shared the following Google review:
“I hired the legal services because, as a software engineering contractor, my last client did not want to pay me a notice period.
Karim helped me out here and negotiate a 70% of the required amount in a record time, avoiding court.
I totaly recommend them, thanks.”
Details of the Case:
We issued a strong letter before action outlining the contractual terms, legal position, and financial claim. Key points included:
- The client’s clear contractual right to notice pay under Clause 2.2.
- The opponent’s unsubstantiated use of a termination clause based on alleged incompetence—despite offering no credible evidence.
- Reference to leading case law confirming that notice obligations remain enforceable until accepted or properly terminated (e.g. Societe Generale v Geys).
- Application of the Late Payment of Commercial Debts (Interest) Act 1998, including statutory interest and fixed compensation.
We rebutted the allegations firmly, pointing out that missed meetings or general dissatisfaction do not meet the high threshold for gross negligence or incompetence under English law.
Faced with clear legal risk and a well-drafted letter of claim, the company agreed to settle quickly—demonstrating the power of early, strategic legal intervention.
Legal Tip:
Even if a contract is terminated suddenly, you may still be entitled to notice pay unless serious misconduct is proven. Don’t assume a termination for “poor performance” is valid—get legal advice.
Why Choose Us:
- Experts in consultancy and contract disputes.
- Rapid turnaround—settlements often secured within weeks.
- Full recovery of client costs in many cases.
- Clear, commercial advice with no-nonsense negotiation.
- Trusted by freelancers, limited companies, and contractors across the UK.
If your contract has been unfairly terminated or you’re chasing unpaid invoices, Go Legal can help. Call us on 0207 459 4037 or request a Free Consultation online today.
Karim Oualnan, Partner
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