Question posted in the General Law category relating to Gauteng
Hi there
I need advice, please.
There is husband = web developer.
And his client = client.
The web developer entered into an email agreement about a product that he was asked to build for the client. He quoted for it, the client knocked his quote down by 50%, but he agreed to build it regardless, saying that he would use it as a portfolio piece to showcase his abilities. Web developer has since built the product. The client is very happy.
There were no contracts signed, and no other specifications about what this product would be used for, except that the client wanted to use it for their business to streamline certain actions and administration. The client gave the web developer the specifications they wanted. So it was the client's idea, but only the purpose was their idea. They had no idea how it would work or what it would look like. But the web developer conceptualised it, designed it, built it, developed it etc.
The whole time the web developer was building this product, he had the intention to white-label it and re-use it by selling it to other businesses.
Now that the client has seen the finished product, they told him they are going to white-lable it.
This was never the agreement. This was never a part of the plan.
Plus, now that the client has said this, the web developer believes that he cannot white-lable it and that it is not his product because they paid for it. Even though they didn't pay what he quoted. The web developer did agree to the fee, but did so knowing that he would then use this product to benefit personally from it.
Is the web developer within his rights to say that they cannot white-lable the product?
They never mentioned this in the beginning. This was always their intention to use his skills and capabilities (at half price) to make more money in the long run. I feel that the web developer is being severely taken advantage of. But I don't know the legal implications.
Please can you assist?
Remember, there were no contracts signed. It was agreed via email. And no mention of white-labelling was made prior to the product being completed.