Customer Stories

When a client refuses to pay.

alex’s story

Alex operates a small construction firm. He became involved in a dispute with a customer who refused to settle an invoice after he alleged that the work was substandard.

Alex’s business being quite small, he could not afford to write off the amount owed. He was unsure of his options and stressed about the prospect of a counter-suit from the customer.

He had given the customer several options at the outset of the job. Despite Alex’s warning that it may not be enough, the customer chose the cheapest option. Alex called the Legal Advice Helpline and explained his situation.

A lawyer was assigned to the case and successfully defended a counter-suit. He recovered $5,000 in outstanding fees from the customer. 100% of the amount recovered was returned to Alex.

Threatening letters from an ex-accountant. 

Sheila’s story

Sheila owns a small dry cleaning business. She became involved in a dispute with her accountant who claimed that he was owed $26,000 for services rendered. In fact, the retainer had been cancelled several months earlier and all outstanding invoices had been paid. Sheila was nervous and stressed, especially when she received a letter from the accountant saying that he would take Sheila’s business to court to recover the “unpaid” amount.

After receiving the threatening letter, Sheila called Legal Advice Helpline and a claim was opened. The lawyer contacted the accountant who then stopped sending the letters. No legal action was taken against Sheila and she saved over $700 in legal fees. Had the accountant continued to push to have this dispute resolved in court, the lawyer would have continued to defend Sheila and all her legal expenses would have been covered.

Recovering money owed.

Kevin’s story

Kevin is the owner of a medium-sized construction company. He provided upgrades to a client who then refused to settle the $25,000 bill. This left Kevin in a very difficult situation, as his business was not large enough to absorb such a hefty financial hit.

Kevin called the Legal Advice Helpline and explained the situation. He was provided with a lawyer who was able to recover $21,000 from Kevin’s client. All of his legal fees were covered, and 100% of the recovered amount was returned to Kevin.

Collecting outstanding debt.    

meghan’s story

Meghan is an insurance broker with a medium-sized portfolio of commercial clients. She sold a policy to a man who then moved to another province. The client still owed $15,000 on his policy, and did not provide Meghan with any updated contact details. She was unable to reach him to recover the money he owed. Meghan knew that if she used a collection agency to recover the money, she would lose a significant portion of it in collection costs. She decided to put her LECbusiness policy to use. A lawyer was assigned and he was able to locate the client and recover the money. 100% of the recovered money was returned to Meghan. Without her LECbusiness policy, Meghan would have had to pay about $3,000 in collection fees to recover the outstanding debt.

Counter-suing for wrongful dismissal.

graham’s story

A lawyer is currently defending Graham, a retail business owner. Graham received a claim for $10,000 from a former employee for wrongful dismissal, outstanding vacation pay, and breach of human rights legislation.

The lawyer has submitted a defence to the allegations, as well as a counter-claim for losses Graham suffered as a result of the allegations. Without a LECbusiness policy, Graham would already have had to pay $1,200 in legal fees and likely even more as the case works its way through the human rights tribunal process.

But as a LECbusiness policyholder, Graham has peace of mind knowing he will never receive a bill from his lawyer. All legal fees will be covered until the case is resolved.

dealing with the cra.    

janine’s story

Janine was contacted by the Canada Revenue Agency (CRA), advising that her business owed $560,000 in untaxed income after underpaying its taxes for three years. Janine believed her business had been overvalued but was unsure how to respond to the CRA or navigate the tax court system. She contacted the Legal Advice Helpline, and a tax lawyer was assigned to respond. Her LECbusiness policy also provided Janine with an accountant to assist with the audit. The lawyer was able to negotiate the amount of undeclared income down to $280,000, cutting Janine’s tax bill in half. Thanks to her policy, Janine also saved $15,000 in legal fees.

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Submit tax with confidence

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* Coverage is subject to the terms, conditions, and exclusions of the policy. For full details of coverage, please read the LEC drivXP, LEC livXP and LECbusiness policy wording. Deductibles may apply.