
Ask HN: What to do when a client writes - eruci
Can you give us a refund, because our project is over budget?
======
aphextim
Hope you had a good contract that outlined everything that was expected and
for how much before doing work with said client.

Hold them to the contract.

If you are a component to their project and their overall project is failing
so they want to cut your component? If so they paid for your services and if
they are failing their overall project that is not on you. Keep the money they
paid you for your product that was outlined in your contract.

If they are a component or part of your project and want to quit because they
underbid the portion they are responsible for and now want to bail before
taking a loss that is also their fault and hold them to finishing their
portion of the project for whatever amount you agreed to prior.

Not sure what else to say without knowing more and this is taken from
construction experience with dealing with various sub contractors so it may
not hold true as much for the tech sector.

Take all information as anecdotal evidence and I am not a lawyer.

~~~
eruci
The contract says:

"Refund Policy We don't offer refunds, but you may cancel at any time."

(
[https://aws.amazon.com/marketplace/pp/B06Y1DVR9L](https://aws.amazon.com/marketplace/pp/B06Y1DVR9L)
)

~~~
aphextim
If this is your product and the above mentioned was listed when the client
purchased it then the client should have been aware of what they were
purchasing and the policies about said purchase.

In my opinion you do not have any obligations to refund money to them for
services they had already used.

Maybe if they somehow did a pre-pay for say a year's worth of operating costs
up front based on an estimated usage and then bailed before they used it all
maybe there may be some grey area where you owe them a prorated amount of what
they didn't use.

Much like say you get a car insurance policy and pay for all 12 months up
front, then all of a sudden you get a new car 9 month into it and get
reimbursed for the 3 months you didn't use.

In my opinion any services they used they owe your company for.

Services they were planning to use but didn't actually use yet may be a grey
area.

If you do not allow them to pre-pay for blocks of use ahead of time this isn't
an issue.

Again I'm not a lawyer.

------
codegeek
Don't offer a refund. If they have been a good client overall, offer them an
alternative. A concession of some sort. Perhaps a discount for next couple of
payments (if subscription based). Work something out where you don't lose
money from your past but you may have to give up something in the future. The
reason is that you already have worked hard in the past to get that money. A
concession in future will first put the responsibility back on client and you
have the freedom to say "we can give you a concession but we may reduce some
of the features/support etc".

I would reply with something like:

"Unfortunately a refund would not be fair to our team based on the work we
have done so far for you. However, you are an excellent client and we would
love to give you some type of concession for future and we can offer you xyz.
I hope this helps you. Let me know if you have any questions on this
concession offer"

Use words where you make the client feel guilty about asking for refund
(because frankly, they shouldn't). However, you still sound like you are
trying to help them. Win-Win.

------
saluki
I like to break projects down in to incremental milestones, that way the
client sees a portion of completed work, pays for it and you begin the next
milestone.

This helps keep both of you happy, they are seeing progress and you are seeing
payment for work completed.

Client management is a difficult thing. I would assure them that the project
will be completed, it is taking longer than expected because of x,y and z.
That you will do a better job of keeping you informed of issues like these in
the future. Give them an updated date that you can deliver early on. If you
can break the remaining work into milestones where you can show them
incremental progress.

------
LEDThereBeLight
They don't expect you to say yes. Assuming this is some service project, I
would simply say, "Frankly, it's insulting and demoralizing that you're asking
this given how hard we've worked on the project."

------
manidoraisamy
It is quite common. Don't go by the contractual obligation. If it is a small
amount for you and your customer is going to stick to you, you might want to
make him a happy customer by giving discount.

------
coralreef
Are you asking "how should I word my reply", or are you asking "what should I
do to mediate this?".

~~~
eruci
Do people make exceptions on refund policies and under what circumstances?

~~~
JeffRosenberg
Under the right circumstances, sure. But it hardly seems like these are
exceptional circumstances. This would be like eating at a restaurant, then
asking if they'll accept 50% of the bill "because I've already spent too much
at restaurants this year."

