Contractor paid, services not rendered
I am a partner in a web design company who sub-contracts out to web designers on a per/order basis. Our clients pay us, and we pay independent contractors a percentage of the total amount, on a good-faith basis prior to the start of any project.
We have one contractor who has not completed 3 projects, all of which have been paid in full by the clients, and we, in turn, paid him (approximately $600).
Do I have any recourse to get the monies reimbursed by the contractor for services not rendered?
I am in Texas, my partner is in Connecticut, and the independent contractor is in Florida.
Our attempts to contact him have failed. The projects in question have been taken over by other designers (contractors). As of now, we are eating the amount paid to him.