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Comment by rb2e | Hacker News Reader

First question is, did you have a Contract? Secondly, surely there is paper trail if the e-commerce company was sold? In the UK for instance, all companies details are on publicly accessible register (Companies House), surely its the same in the USA (not 100% sure how it works in the states)? Either way, sounds like best to speak to a lawyer.

Edited to add: Having a non paying client is a problem that will affect most freelance developers at some point. It won't appear as whining but best not to name and shame. It could prejudice your case if you go to court. Speak to a lawyer.

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I think you meant "Do you have a paper contract?". In the US a verbal contract is perfectly legal, although in court you'll get into more "he said/she said" type situations, so it's always best to get things in writing. Having an attorney is always great advice.

In the United States, a verbal contract is valid up to a contract value of $500.

If someone tells you they'll give you a $10,000 to do or say something ridiculous (eat a week old pizza, drink milk through your nose, etc), you can't sue them when they don't deliver; They aren't on the hook for $10,000.

> In the United States, a verbal contract is valid up to a contract value of $500.

This depends on both what the payment is for, and which US jurisdiction's law binds. There are circumstances in California, e.g., for which there is a $5,000 limit -- and circumstances for which there is a $100,000 limit.

Which is one reason why you should go to a lawyer.

The existence or not of a contract does not entirely determine whether a promise (e.g. to pay you $12,000) is legally enforceable. There may be other legal theories affording recovery. Therefore it is not entirely accurate to say that if you have an invalid contract with someone, "you can't sue [him] and [he] won't deliver." In many if not most cases you can sue and you may be able to recover.

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