“Get your money upfront”

Let me set aside the reason the man who uttered the phrase “get your money upfront,” was being asked his opinion. He was describing dealing as an independent contractor with the various companies under one owner using a common way of saying don’t trust them, get paid before you start. He prefaced his comments with “the word on the street,” to define it is not just him who is having these issues.

If you heard this about anyone, your first reaction, would be to hit the pause button. It could be due to bullying contractors to pay them less or it could be due to companies having cash flow issues. There are two sure-fire ways to see if a company is in trouble. The first red flag is they extend their Accounts Payables from 30 days payment to 45 days or more, e.g. The second bigger one is when they stop paying people altogether, be it contractors or employees. They invent reasons to delay or not pay, begging for a lawsuit, to be forced to pay.

Per a USA Today article on June 1, 2016 (see link below), the owner of these companies has had over 3,500 lawsuits and settled at least 100 of them. Usually, when a settlement occurs, there is no admission of guilt or innocence, but it is my experience companies settle when they have a lesser case. The cases range from stiffing contractors, employees, buyers and co-investors, suing to force the eviction of people from their homes under various local clauses of eminent domain and aggressive or fraudulent misrepresentation.

The sad part is many of the folks who sued this owner went out of business or lost significant portions of their wealth. Another sad part is those who could not afford to sue or would get overwhelmed by the owner’s high-priced lawyers, just went away without getting paid or accepted being defrauded and bullied. It easier for the owner to pay $5,000 in legal fees to make a larger Accounts Payable problem go away.

As we speak, one of those lawsuits is not paying a painter contractor $250,000. The reason is the owner did not like the work. I understand that is a fair claim, but a project that large should have had some milestone payments and checkpoints on quality measures and progress. Again, it gets back to the above statement, “the word on the street is get your money upfront.”  But, these failure to pay claims do not even speak to the fraudulent or legal wording lawsuits where the owner takes advantage of unwitting buyers, which are a subject in their own right.

The man who uttered this statement was giving a two-part reason of why, as a Republican voter, he will not be voting for Donald Trump. It is far more than his first reason that Trump is an abhorrent candidate based on his comments and positions. It is also due to this man’s dealings with Trump’s companies. He is not alone and it continues to this day. And, it will continue after the election.

http://www.usatoday.com/story/news/politics/elections/2016/06/01/donald-trump-lawsuits-legal-battles/84995854/

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15 thoughts on ““Get your money upfront”

  1. Where this particular man is concerned, I wouldn’t even get my money up front … I would not even do business with him at all. In fact, if he offered me a “deal”, I would run away as fast as I could. He is as much a thief as a pickpocket in Central Park … Good post, Keith!

    • Jill, agreed. Remember the story of the attorney who worked for Trump and said don’t vote for this man. In essence, the attorney said Trump lies all the time. Keith

  2. When doing business with contractors I pay as I go…when the work is done in parts I will pay when it in parts….I see so many people paying up front for work that is never finished or either it is a total scam and never even started, “take the money and run” scam. In so far as being a contracted company, I would definitely get the money up front from hiring company…re Trump, I think word is out that he is an unconscionable scam artist with no moral or work ethics. Placing a man so ruthless in the highest office of this country is unthinkable. Now that he is back tracking on the immigration issue, I am hoping some of the bigots will back off on him.

    • Holly, I agree with your approach on contractors and assessment of this candidate and hope that people will stop supporting him. I think paying contractors a binder up front and paying at milestone points in part is more than fine. The fact the word is on the street about this man speaks volumes. Thanks, Keith

    • Susan, a sure indication of how someone will act is in their history. This is his modus operandi and organizations take on the characteristics of their leaders. You know, when he announced his candidacy, I knew he was a horrible candidate. But, what I have easily discovered, he is far worse than I thought. People need to shout these stories from the roof tops. Keith

  3. From my brief and not-very-accurate survey, many of the Republicans who refuse to vote for Trump will simply not vote at all. Hillary has an image problem, as we know, and many hate the person they THINK is Hillary.

    • Not surprising. That Hillary voodoo doll created and nurtured over the years is far worse than actual candidate. She does her part to add some legitimate seasoning which feeds this beast. It is like the line from “The Man Who Shot Liberty Valance,” when “the legend becomes fact, print the legend.”

  4. I remember seeing him on a talk show years ago and he stated that he never carries cash. The host asked “Well, what if you want a cup of coffee” his response was on the line of this arrogance …. “I never pay for anything, people know who I am and give me free meals.” Ok, I got that, however knowing businesses are throwing you a free lunch, wouldn’t one be grateful and carry some CASH to TIP the SERVER? He is a LEACH!

    • Lisa, I am not surprised by your story. When he first announced he was running, I knew he was a horrible candidate. What I did not know until I read more about his history, is that he is worse than I imagined. This is without considering what he has said on the campaign trail. Leech is appropriate term, although one woman who withstood his efforts to take her home chose a more gruesome term – she called him a “maggot.” I thought that was an interesting selection from the thesaurus. Keith

  5. Note to Readers: To me, there are so many reasons to dismiss Donald a Trump as a candidate. If his major opponent or any previous Presidential candidate had done any of the litany of things he has done or said, their candidacy would be over. This man’s history is one of exploiting others, but for him to stiff folks forcing them to either sue him or go away broke is telling. I have written before about his affection for an attorney named Roy Cohn, whose modus operandi is to sue everyone. Cohn is most famous for advising one Senator Joe McCarthy, who stooped lower than any American during the communist witch hunts. Trump is borrowing from that indicting McCarthy play book that some Americans are more American than others.

  6. Note to Readers: When I relooked at the footage, I realized the man used the word “repugnant” not “abhorrent.” That is a much stronger term to define an individual’s modus operandi. Mr. Trump can appreciate that neither term is PC.

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