Significant discrepancies between agreement and execution
I am writing this to share our experience with Vectra Advisors and Alexey Bardin regarding a Swiss incorporation mandate. The Agreement: Our startup engaged the firm based on a written Fixed-Fee offer for the entire legal setup. Based on this offer, we made a full prepayment. The Execution: Despite the firm being aware of our urgent deadlines, no legal drafts or statutes were delivered over a two-week period. The Fee Pivot: Shortly before our deadline, the firm informed us that they would not proceed under the agreed fixed-fee arrangement and demanded a switch to an hourly billing model (CHF 425/hr). The Financial Retention: After we terminated the mandate due to non-performance, the firm retained our entire deposit (5k+). They justified this with a retroactive hourly log that included billing us for the time they spent drafting their own new fee proposal. Communication & Conduct: Following our termination, we received a formal letter threatening legal action regarding our feedback. Furthermore, the firm stated they would use our client data for their defense, which we consider highly problematic regarding professional confidentiality standards. Conclusion: Due to the lack of deliverables and the handling of our funds, we have initiated formal grievances with the relevant Bar Oversight bodies in Zurich and New York. Based on this experience, we advise caution.
By Karsten K.