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The best way to solve this matter is by mutual agreement, because is free and will consolidate the business relationship.
mutual agreement is good. but depends on how much financial loss you can bear in exchange for other matters like retaining the goodwill of the client, cash flow constraints, how long the litigation will take.
Three are other alternative dispute resolution methods which may be considered for a better out come.
Go with mutual agreement if you want to have a good relationship with your Client and that they can hire you for the next project. Try everything to settle it down before going for arbitration option.
Mutual agreement because of two reasons:
First of all, the agreement takes less time than the court. Second, we can reach an agreement which is the best for the client includes everything he/she wants.
