Who has the rights

[outfitter]

While I have been an active reader of this great Website this is my first time posting. I purchased a basic outdoor site about 3 years ago that already had some minor cash flow. Since that time we have had steady growth and we would like to expand into more content sites based upon its design. We converted the old format into a database. First let me say that I am no Tec. I have outsourced all updates to one individual. I believe in the full power of the web and would like to capitalize on my team building and networking skills using the power of the web without actually writing all the code. I have paid a straight 50-dollar an hour rate to our web developer to get where we are today. He took no risk in the company’s future and was paid on time throughout the whole process.

I am a very loyal person that believes in sharing the rewards especially to those individuals who sacrifice together for a common goal. I signed no contracts with him, his labor was billed and I paid it. The time is right for us to expand and I shared some of my ideas with him. Wanting to get a better handle on future costs before I make the expansion agreements, as they require the need for more people to get involved. I started asking him for prices so I could project and budget for our future database admin costs and for future project development! Now he is telling me that the whole project is partially his because it was his design, and if I ever sold the company we would first have to deal with his compensation. Is there any truth to these statements? Sorry for being long winded I truly would like to see him benefit when we reach our full potential. And I would like to continue working together on projects but I refuse to be forced to.

[bcolflesh]

Welcome to WW - no contract, no dice - sucks to be him! First things first, change all your FTP/ISP usernames and passwords, make copies of all source code and store in a secure place - also get copies of any payments to him, if possible.

[killroy]

Just be VERY careful. The law isn't always helpful in tech matters. He might be in complete charge, even though not legally in the right.

don't mess with your admin unless you know exactly what you're doing. It's time to get diplomatic and sneaky.

SN

[divaone]

you should be very careful. it sounds like he possibly 'heard' something different than what you agreed to. verbal contracts can be as legally binding as written ones and it may unfortunately boil down to a he-said he-said. having no prior written contract may help. you should gather any paper trail you may have to be prepared for the 'just in case' scenario.

[outfitter]

Thank you for the Reponses! I am just thankful I did not have the rest of the system built before I get this clarified. I just hate being slowed down by details like this. Again thanks for the Reponses!

[aspdaddy]

>his labor was billed

What did he write on the invoices? and how often, weekly or monthly

[outfitter]

I have invoices for worked performed, number of hours per item, and total. It was billed monthly.