Breach of Contract from Registrar (Auditor Payment Issue)

dsanabria

Quite Involved in Discussions
#1
Hi;

Had a nice conversation with a third party auditor that audits for a CB in USA, and the auditor was telling me that the Registrar has not paid the bills since November 2016.

The amount is up to $20,000.00 and the auditor is looking for ways to collect the money.

Any ideas...
 
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Randy

Super Moderator
#2
Re: Breach of Contract from Registrar

Work for another CB? This person apppears to be contracted so it's a B2B arrangement

A big question is whether or not the CB is accredited to ANAB or another equal body.
 

dsanabria

Quite Involved in Discussions
#3
Re: Breach of Contract from Registrar

Work for another CB? This person apppears to be contracted so it's a B2B arrangement

A big question is whether or not the CB is accredited to ANAB or another equal body.
The auditor is an independent contractor and does audit for other registrar and yes - the registrar is one of the big ones - accredited by ANAB.

Does ANAB gets involved in treatment to auditors?
 

Golfman25

Trusted Information Resource
#4
Re: Breach of Contract from Registrar

Hi;

Had a nice conversation with a third party auditor that audits for a CB in USA, and the auditor was telling me that the Registrar has not paid the bills since November 2016.

The amount is up to $20,000.00 and the auditor is looking for ways to collect the money.

Any ideas...

Well he needs a friend named "Vinnie." :)

I wonder if there was an issue with the audit which is why the non-payment. Otherwise, he probably needs to start with a frank conversation and then persue collection if need be.
 

normzone

Trusted Information Resource
#5
Re: Breach of Contract from Registrar

When business is slow, consultants are usually the first to get delayed payment. Generally Annoying Accounting Practices and all that ...
 

dsanabria

Quite Involved in Discussions
#6
Re: Breach of Contract from Registrar

Well he needs a friend named "Vinnie." :)

I wonder if there was an issue with the audit which is why the non-payment. Otherwise, he probably needs to start with a frank conversation and then persue collection if need be.
yes - agree Vinnie - "the Lawyer"!
 

Sidney Vianna

Post Responsibly
Staff member
Admin
#7
Re: Breach of Contract from Registrar

Does ANAB gets involved in treatment to auditors?
No, ANAB will not allow itself to be dragged in a commercial dispute between a CB and a contract auditor.

Maybe Judge Judy can help.

On a more serious note, one thing I learned in life is that, there is always (a minimum) of two sides for each story.

On the auditing side, for example, I've seen some auditors who consistently deliver terrible-quality audit reports and evidence to be reviewed by the CB Technical Function. Their deliverables are non-conforming and they expect full pay for substandard work?
 

Marc

Hunkered Down for the Duration
Staff member
Admin
#8
Re: Breach of Contract from Registrar

When business is slow, consultants are usually the first to get delayed payment. Generally Annoying Accounting Practices and all that ...
You also have to see the contract. I've seen net 90 on some. Then again I would never agree to anything but net 30, personally. My terms are typically "Payable on Receipt" of my invoice.
 

Marc

Hunkered Down for the Duration
Staff member
Admin
#9
Re: Breach of Contract from Registrar

<snip> On a more serious note, one thing I learned in life is that, there is always (a minimum) of two sides for each story.

On the auditing side, for example, I've seen some auditors who consistently deliver terrible-quality audit reports and evidence to be reviewed by the CB Technical Function. Their deliverables are non-conforming and they expect full pay for substandard work?
Waiting 4 months to "complain" about sub-standard services by withholding payment isn't acceptable, in my opinion.
 

Sidney Vianna

Post Responsibly
Staff member
Admin
#10
Re: Breach of Contract from Registrar

Waiting 4 months to "complain" about sub-standard services by withholding payment isn't acceptable, in my opinion.
I said nothing to that effect, Marc. What I said is that some auditors consistently deliver substandard work which creates additional work for CB's in terms of additional reviews and delay of audit packages processing. In the business world, when suppliers ship nonconforming products that require rework, many customers have a charge back option.

Withholding payment for services rendered is just wrong and, as the title of thread mentions is a breach of contract.

Still, people should be aware that jumping to conclusions based on a one-sided, second hand account is risky.
 
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