Web Hosting Talk : Web Hosting Main Forums : Running a Web Hosting Business : Billing Software...Lawsuit

[AlaskanWolf]

Hey all

I will be contacting my lawyer on Monday morning, but just wanted some input...

This is what i sent my lawyer today......


On or about February, 2000 I contacted a company called AccessNow and talked to a person named Tomas
Hood. The discussion was over email regarding a possible software bundle to be made for my web
hosting company. This software would automate my billing for my hundreds of clients. It would work
on Linux (operating system like Windows)

The total cost quoted and signed was $5300.00 and the software would be completed in a estimate of
12 weeks. We worked out a schedule, emailing back and forth. He stated there would be a total of
Four Phases throughout the project. He also stated that the ones working on this software would be
him and his programmer Keith Popalskey

The payment of $5300 would be broken into 3 payments

I sent him the initial $2,000.00 by Western Union to get the software started on February 15th, 2000
(First Phase)
I sent another $2,000.00 to him April 6th, 2000 (Second Phase)

On about the end of June, 2000 I sent Tomas an email demanding a eta of when the software would be
completed. The ETA for the software was suppose to be June 15, 2000. He replied back that he was
very sorry that he was unable to complete the software and that "I can say that I do NOT expect this
to go more than the end of July at MOST"

Since July 2000, I kept in close contact with Keith, the main programmer of the software, fixing
bugs and various issues regarding the software.

Email after Email to Tomas demanding when the software would be completed, always had an answer of
the next month or so. I learned after a while that Tomas finally admitted that he was working on
another project and that Keith was doing a good job. Months later, I again complained to Tomas
regarding the competition of the software, He then told me that him and Keith had a "falling out"
and that both him and Keith decided to end their partnership (or whatever they had)

Tomas stated that Keith would continue to work on the software since Keith invested so much time
into it, I told Tomas that I didn't care who finished the software, I only cared when it would be
completed. Tomas stated that he would help in any way he could, In fact, he helped for about 1 week
with Keith and did some minor modifications. Since then, I have never gotten any emails or phone
calls from Tomas, The last time I talked to Tomas I clearly stated that I would file a lawsuit
against him, he didn't like that, so he said he would do anything possible to complete the software,
he even stated if necessary, he would takeover the project himself.

Like I said, no contact since. I finally sent him a email giving him 10 days notice of a pending
lawsuit against him since I signed the contract with him and his company AccessNow. I left numerous
messages as well. None were returned.

Friday, I got a call from Keith telling me that Tomas was scared of the pending lawsuit and Tomas
contacted a lawyer, which told him in laymen's terms, that since Keith took over the project, Keith
also took over the contract (I never signed anything other then the contract between me and Tomas)

Tomas (though Keith's brother) stated that if I sued Tomas, Tomas would sue Keith (which I am still
laughing at right now)

I have been using the *very buggy* software since I was instructed by Keith to add all my clients to
the system> I have been using this software since about Aug 2000

My personal opinion is that the software is about 60% to 70% completed, It has quite a bit of bugs
still left to fix. Not all features are even completed yet such as the user login feature where a
client can login and change their billing information. The system is still not automated, I have to
go in there each month and click the Process this bill button for every account in our system...quite a bit of clicking...


I hope I was clear in the matter and now ask what do is from this point on.

I did send Tomas a 10 day notice via Registered Mail (Saturday)

[Justin S]

Looks like this will be an easy win for you an your lawyers. You signed a contract, you paid on time, and they failed to deliver what they promised set forth in the contract. The only thing you might have to wait on is if Thomas does indeed sue Keith. But overall it looks good.

[Jaiem]

Oh I wish I had $1 for every time I heard something like this!!

The only comfort I can give is that it isn't unique to your, your company or the web industry.

Contracts for multi-million dollar software work the same way - the vendor promises the moon by the end of the month, the client pays millions, then 6 months later it still isn't done.

Hang tight and stick to your contract!

Good luck.

[marcum]

It may not be such a slam dunk for your lawyers.. It kind of depends on the requirements statement.

It seems you have the software and are using it. It
is billing software.

I think it's all going to depend upon the requirements statement and how detailed it is. Also whether it was
ammended for each change.

[kunal]

i think this a normal problem both programers and customers have.... ive gotten screwed over by quite a few of my customers.. they make me work on the project.. and then do not pay me .. i cant even sue them coz im in a different country .. all i can say is, your lucky ur in the same country and you have all your communication saved up...

[AlaskanWolf]

After looking at everything, I think I can safely say I have the law on my side.

Sure I am using the software, but its incomplete, Its not even automated yet, the primary objective I set out for.

I also have *every* email from tomas himself that clearly states his intentions to finish the software and even give me a discount for the lateness, if that's not proof enough, I dont know what is.

I think this is a clear case of someone paying for something they didnt get. Any grade schooler can figure that out

[kunal]

true.. let us know how it goes.. best of luck

[AlaskanWolf]

I will be sure to

[akashik]

Originally posted by kunal
ive gotten screwed over by quite a few of my customers.. they make me work on the project.. and then do not pay me

Kunal,

Is that before or since you have that billing system from Revecom? I know we were sitting around for ages wondering when you'd let us know how to pay you *lol*

Naturally we were happy to meet the bill. I haven't seen too many programmers that work as hard as you did (especially considering the frustration it caused you). Considering how affordable it was we'll be using you again...

Greg Moore

[kunal]

hehe.. greg, it was both before and after i got that setup

before it was setup, i had something else worked out where you could send cheques to me somewhere in USA.... i dint tell you about it, coz it dint make sense for me to ask you to send a cheque all the way to the US.. wouldnt make sense at all

im glad you liked my work

[inet7]

Another testimonial for reasons to use/purchase software that has been around a while and tested by other isp's.

We almost fell into the same trap, with someone posting to an isp list indicating they had almost completed the software. Thank god I had just finished evaluating Opti-Gold ISP!

Good luck!

Ken

[AlaskanWolf]

Hi have to disagree Ken, sometimes nothing fits your needs and you have to get your own solution

But please keep it to the topic

[inet7]

Well, lets see:

Topic: getting scammed by software kiddies;

My reply: don't use software kiddies. (and a little Plug for the software we use. Tried, tested by hundreds and access to the sofware developer for custom additions....can't beat that! oops. that's two plugs)

Pretty much on subject.....but each to their own.

Have a nice day!

[AlaskanWolf]

Like I said. the topic is regarding a lawsuit and has nothing to do with "software kiddes"

I tired ISP Gold or whatever its called and its just like the rest, made for ISP's and not Web Hosting companies..just like every piece of software out there.

And the ones that are geared toward web hosting companies are not very customizeable and/or has features some of us will never use

Regardless, if you want to plug your software, do it elsewhere like the Advertising Forums. I never asked anyone what software they were using in the first place.

[marcum]

I just think that in the future:

Try to detail requirements before your start.

Pay the programmer to help create this.

Don't make an additional progress payment
until you are satisfied whith what you have so far.

In an ideal world by using detailed specs and well
commented code.. another programmer could pick up
programming the remaining modules and you would have received some value.

I wonder how many times this doesn't happen?