Summary:
Ever had a client refuse to pay you, ghost you, or demand endless revisions that weren’t in the original agreement? If so, you’re not alone. Many freelancers make legal mistakes that leave them vulnerable to unpaid invoices, contract disputes, and even stolen work. In this article, I’ll share five common legal pitfalls freelancers face—and how to fix them today, so you never have to chase payments, deal with shady clients, or lose ownership of your work.
Check out our article on the ideal Freelancer Contract Template to lock in fair terms and avoid legal nightmares! Sign up to a Serious Business account.
Why Legal Mistakes Matter for Freelancers
Freelancers wear many hats—marketer, accountant, project manager—but being your own legal team is one of the most important roles.
The problem? Most freelancers don’t think about legal issues until they get burned.
I made this mistake early on. A client “forgot” we agreed on a set number of revisions and kept sending edits. Without a solid contract, I had no way to push back—so I did 10 extra hours of work for free.
Lesson learned. Now, every client signs a contract before I start a project. Here’s how to avoid my mistakes and protect yourself.
1. Not Having a Written Contract
The Mistake:
You agree to work with a client via email or a phone call, assuming they’ll honor their word. Then, midway through the project, they change the terms—or worse, refuse to pay you.
The Fix
Always have a written contract. No exceptions. A solid freelance contract should include:
- Payment terms (when and how you’ll be paid)
- Project scope (what’s included and what’s extra)
- Revisions policy (how many rounds before you charge extra)
- Termination clauses (what happens if either party wants to walk away)
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2. Overlooking Payment Terms (And Getting Paid Late or Never)
The Mistake:
You complete the work, send an invoice, and… crickets. Weeks pass, and the client still hasn’t paid. You follow up, but they keep saying, “We’ll get to it soon." I once completed a R25,000 project, only for the client to disappear. Now, I require a 50% deposit upfront before I start anything. If a client hesitates to pay a deposit, that's a red flag.
The Fix
Set clear payment terms in your contract:
- Upfront Deposits – Always ask for 30–50% before starting.
- Late Fees – Specify a late payment fee (e.g., 10% after 14 days).
- Kill Fee – If a project is cancelled mid-way, you still get paid for completed work.
3. Using Vague or Ambiguous Language in Contracts
The Mistake:
Your contract says, “Project includes unlimited revisions.” Sounds nice… until the client starts requesting endless changes. A friend once told me about a client who tried to argue that “completion” meant when they felt like wrapping up—not when he submitted the work. Since his contract wasn’t clear, he had no legal standing. Because of his scenario, I define every single term in my agreements.
The Fix
Be crystal clear with contract language. For example:
- 🚫 Instead of: “Client must submit revisions”
✅ Say: “Includes two revision rounds. Additional revisions billed at $XX per hour.” - 🚫 Instead of: “Final payment due at project completion.”
✅ Say: “Final payment due within 7 days of project delivery. Late payments incur a 10% fee.”
4. Not Protecting Yourself Against Scope Creep
The Mistake:
The client keeps adding “just one more thing” until your R5,000 project turns into a R20,000 job—but you’re still getting paid the original price.
The Fix
Define the project scope in your contract and include a clause that states:
- Additional work requires a new agreement or separate invoice.
- Requests outside the original scope will be billed at an hourly rate.
📌 Fix It Now: Use our Time Tracking Tool to track your deliverables and control scope creep.
5. Not Understanding Intellectual Property Rights
The Mistake:
A client assumes they own your work outright just because they paid you. You later find out they’re reselling it—without giving you credit or additional payment. This one is a little nuanced, but how would you feel if a client paid you for your work and resold it to another company without telling you? Does this scenario make you want to include licensing terms in your contract? Would you charge extra—or take legal action? Check out our Freelancer IP guide for more information on South African Intellectual Property rights.
The Fix
Define your IP rights clearly in the contract and clarify whether the client is getting full ownership or a license to use your work.
- Grant usage rights only after full payment.
- Charge a licensing fee for resale or extended use.
Freelancers Ask:
🧐 What if a client refuses to sign a contract?
- Response: If they won’t agree to fair terms now, they’ll likely push boundaries later. Try saying: "I require contracts to protect both of us and ensure clear expectations. It’s a standard practice in my business."
🧐 What if a client refuses to pay after the work is done?
- Response: If you didn’t use a contract, you can still send formal payment reminders and consider legal action. Going forward, always use upfront deposits to avoid this.
Key Takeaways:
- Always have a contract. Handshake deals are a lawsuit waiting to happen.
- Get paid upfront. Don’t wait until the project is over.
- Be specific. Ambiguous contracts lead to misunderstandings.
- Set boundaries. Scope creep is real—charge for extra work.
- Protect your work. Define intellectual property rights before starting.
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