<< That makes it no longer a contracts case if the theft can be proved. And the victim isn't limited to the awards that might be made in a contract case, but might collect punitive damages to punish the tort and crime.True - but all that is a matter for the courts. They make the call as to punitive awards, etc. The company can't just unilaterally decide to invoke themselves to act as court/judge/jury. >> Sure they can. They simply refuse to pay --- and perhaps they make a demand on the contractor for payments from the contractor for damages.A smart contractor who had theft by his employee proved would be wise to avoid going to court if possible. The contractor is free to make a demand for payment and the customer is free to refuse to pay the bill presented.That would leave it up to the contractor to decide if he wanted to go to court to enforce his claim.The customer has no obligation to pay a bill just because it's presented to him.Seattle Pioneer
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