Good Cop - Bad Cop

A Case Study on Handling Disputed Invoices

Here’s a real-life situation from an email sent to me by a Partner in a large accounting firm:

"Our client has paid part of the invoice (total was $9,800 + GST). Jane isn't happy with the amount. We've provided a detailed breakdown of our time, costs, and two disbursements within the invoice. The client has only paid what they feel the work is worth, and we're still negotiating. Any tips or suggestions would be greatly appreciated."

At first glance, this might seem like a common scenario – a client unhappy with an invoice, payment held up, and frustration on both sides. But what do you do when negotiations hit a wall?

Our Response: The Power of Good Cop – Bad Cop

Step 1: Review the Charges
Before diving into strategy, it's crucial to ask, "Can we fully justify our charges?" If there's any uncertainty, a reduction might be considered. But assuming your fees are justified, it's time for a tactical approach.

Step 2: Introduce the "Uninterested" Third Party
This is where the Good Cop – Bad Cop strategy comes in. Instead of continuing the back-and-forth between the client and the person who did the work (who's emotionally invested), introduce a neutral third party—someone who wasn’t involved and has no emotional attachment to the work. In this case, Kym or Anthea could step in.

Why is this so effective? The third party has one major advantage: ignorance. They don’t know the ins and outs of the project, and that works in their favor. They can ask the client for more details without getting defensive or trying to justify the work done. Their role is simple – gather all the information and concerns from the client.

Step 3: Listen, Don’t Defend
When the third party asks for more information, the client is more likely to open up. With no history or personal attachment, they become the “safe” person for the client to vent to, sharing any frustrations or critiques without holding back.

Once the third party has all the facts, they pass them along to the person who did the work. Armed with this information, the work can then be evaluated, and a decision on the next steps can be made – logically and without emotion.

Outcome: A Win-Win Resolution
In this case, Kym made the call. The client shared their grievances, and Kym relayed this to the Partner. The Partner, now fully informed, reached out to the client directly. The result? A slightly reduced amount was agreed upon, and both parties walked away satisfied. The client felt heard, the Partner retained the business relationship, and importantly, the negotiation stayed professional, not personal.

Had the Partner called directly, emotions could have flared, turning a negotiation into a conflict. But by using the Good Cop – Bad Cop strategy, both sides saved face, and the relationship may even be stronger for it.

Key Takeaway: Always Be the Good Guy
The lesson here is simple: Let someone else be the bad cop. By staying neutral and using a third party, you allow your client to express their concerns without feeling judged or challenged. You can then make an informed decision, keeping the conversation focused on solutions, not emotions.

When you apply this strategy, both sides can walk away feeling respected and understood – a win for everyone involved.