Legal Question in Business Law in Texas

My client paid a $3k deposit on a $7k contract back in September. After changing his mind several times on his brand design, he did not make a second payment and instead told me today that he wants his deposit back. Over XXX hrs of research and design work, a draft and a card design have been rung up on this project. He did not sign his contract, but he did pay the attached invoice.

I do not see a reason why I need to give him his deposit back, since the deposit has gone to pay for work done (he currently owes $1k more on the project). But at this point, this client is a real handful, and I don't mind cutting ties with this person.

1 Does payment on an invoice but no signature on the contract still mean the contract is valid? I am assuming that it is.

2 The contract did not have language in it specifying what would happen if he or I changed our minds about this project.

Asked on 1/16/13, 7:12 pm

1 Answer from Attorneys

Mark Dunn Mark D. Dunn

Generally, there's nothing magic about a signature on a contract. Most contracts are oral.

There is a legal argument (in your case) that goes like this: I gave him a written contract to sign; he never signed it, but he made payments under the contract, and never objected to the terms of the written contract.

Do this: Itemize your time, showing what you did and what you charge for it. Mail it to him. And don't refund his money.

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Answered on 1/17/13, 5:08 am

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