Payment Laws

I run a daycare in Saskatchewan. I had previous discussions with the parent about some issues/social problems that I was trying to improve with the older child. After our last conversation, I sensed that we would be parting ways in the near future. I received an email withdrawal of care a few days later. Originally, she provided a 30 day notice and I was going to continue care for the month as per my contract. I accepted her withdrawal and added that it is probably best in the long run as I was not sure if I would be able to do anything different to help the eldest daughter thrive in our home. She had already been here two months and her unhappiness was weighing on all of us. This is something we had already discussed over the phone. She then decided to terminate care immediately even though I was very willing to make it work for the remainder of the 30 days. Our contract stated that if there were not 30 days notice, that payment in lieu for the 30 day period had to be paid in full. Her ex-husband paid his portion but she is refusing to pay hers. She states that because I am not yet licensed with the city here, that our contract is null and void. My husband, a fellow caregiver, and a city police officer thinks she is still required to pay me. I am not sure what to do next. I have said that I will hold her 2013 Childcare Tax Receipt until the fee is paid in full. I am wondering who to contact to determine if the contract is still valid or if she is right and she does not have to pay me?? Any advice???

I don't know the specific licensing laws in Saskatchewan, but if you had a contract and she signed it, then I believe she still has to pay you as per your agreement. Is it illegal to operate without a license in your province? If so, then you may have a problem, but if not, then you are fine and sshe has to pay.

If she doesn't pay though, you can not withhold her tax receipt. Perhaps, since the exhusband has paid his portion, you can appeal to him to cover her portion and then he can recover it from her. I had a similar situation, and that is how it was resolved. Also, if she doesn't pay you can count it as a business loss.

Agreed....you cannot legally withhold a tax reciept for what has been paid....although you have until February of next year to give it to them for 2013. And if it is illegal to provide care without a license, then you cannot take her to court for the money. But if what you are doing is legal (it would be fine in Ontario), then you can take her to small claims court.

You can run a private dayhome in SK and do not need a lic. or agency

What a terrible situation! Your contract is a legal, binding document that will hold up in a court of law. If you have all your papers in order you will probably win the case. But do you want to go to court or call it quits and move on and fill the space with a better family? Only you can answer that question.

I just terminated a client and they owed me for one week of the two week termination notice but they simply emailed me and told me that they would not be returning for the final two weeks and they would not be paying me. I could have taken them to court for that small amount of money and won because my contract is legal and binding. But I was just so happy they were gone and I didn't have to go through 2 weeks of stress with them after the bad termination confrontation.

Do you see what I'm saying? Weigh your options and do what's best for you.