In January I was hired full-time as a frontend developer by Loxala Global Inc., a Delaware startup with a New York address. I worked almost two months. Seven months later, I still haven't been paid.
I'm writing this here because I think a lot of developers, me included until this year, assume a signed contract is protection. It isn't, or at least not the kind you think.
What I have
- A signed employment contract with a full e-signature audit trail. Clause 1.2 explicitly says I'm a full-time employee, not a contractor.
- An email from the company's own legal address stating it "constitutes a formal acknowledgment of debt," plus written confirmation of the amount.
- A Final Payment Agreement signed by the CEO, Hani Elgharabawi, on 18 September, acknowledging $5,465 and setting 6 October as the final date.
- Seven months of correspondence and a commit history in the company's repository.
What I got
Nine "final deadlines." A few, verbatim:
"I will send $1250 tonight."
"This is the final deadline, absolutely no further extensions, no excuses, and no more changes."
"I have never denied this debt, and I am committed to fulfilling it."
Total received in seven months: $644.92. On 6 October, instead of the payment, I got a request for one more extension.
Why the paperwork didn't help
Because the gap isn't in the documents. It's in enforcement.
I'm in Portugal. The company is a Delaware corporation with a New York address that appears to be a virtual office. The amount, $5,465, is too large to walk away from and too small for most law firms to take. One has already declined.
A contract protects you exactly as far as enforcing it costs less than what you're owed. Across borders, that maths rarely works.
What I'd do differently
- Get paid early, and small. A short paid milestone before committing tells you more than any contract. Payment behaviour is the only real signal.
- A referral is not due diligence. Mine came from a client I trust completely, so I skipped checks I'd normally do.
- Read everything you're asked to sign, especially when you're tired. In April I was sent a "settlement agreement" that would have erased the debt and my right to pursue it, in exchange for nothing. I almost didn't read it closely.
- Know where the company and its people actually are before you start. If it goes wrong, who would you sue, where, and would it be worth it?
- "It'll be sorted in two weeks" can repeat for seven months.
The full timeline, with screenshots of the documents, is on Medium: Your Contract Won't Save You
If you've been through something similar as a remote developer and actually got paid, I'd genuinely like to hear what worked.
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