I feel very terrible for you. Let me tell you now that while this situation looks as bad as it is, you will find a way out of it and you will never let this happen to you again. I know this is not much in the way of consolation but I can't tell you how many times situations happened to me through the early years that I am grateful now for having endured these lessons.
It has made me stronger in the business policies I uphold now.
With that said, I feel that your client is taking advantage of you. He is breaching your contract. It does not seem that you have a termination clause in your contract or a no-refund policy in place for your own protection so the best you can do at this point is to tell him he is in breach of contract and that you are terminating your services.
Ordinarily, I would advise any VA in this situation to hold the client to the contract, however, I can tell you this is not a client you would want to stay with. His belittling and demeaning behavior tells me he does not respect your position. I would not want to waste my time trying to turn that behavior around.
I am not quite sure what date you have been paid. Is it April 15? If so, I would just work until that date and not bill him for any additional services. I would simply cut the client loose.
You will be miserable if you continue working with him especially since it will not be on the terms and pay originally agreed upon in the contract.
I would send him a letter of termination explaining that due to breach of contract you are terminating your services. If you have taken a deposit, you can keep the deposit because he is in breach of contract. (I am not sure if you took a deposit.)
Cut your losses and move on.
Now I know you may be thinking that you will lose the income and that will be the case. However, I suggest this highly...that you now use the time to dive really deep
into your marketing and use the energy to secure clients that are professional. Use the situation to your benefit. When I had a bad client, it burned me up so badly, that I wrote the best blogs, tweeted, volunteered, took classes, sat in on webinars, tweaked my website, wrote the best RFP responses and before I knew it, clients came to me.
Also, use the time to redo your contracts.
- a termination clause (I use 30 days)
- a deposit for one month in advance to be held for the life of the contract
- a no refund policy
- a clause that states after 4 months, you will review the account to see that all services are being performed as originally stated
- a clause which states that you reserve the right to raise rates with a 30-day notice if applicable
I wish I had a better answer for you. This man has treated you terribly. You don't deserve this treatment.