In my primary career, I'm a writer and I support small businesses. A while back (1-2 years ago), I did some work for a guy and he's come back for more work a time or two since then. He also referred me a client maybe six months ago- that client didn't pan out. She wound up scrapping her project and didn't pay me for the work I'd done. So, this guy gets in touch with me maybe month and a half ago and tells me he may have a new ongoing writing project for me. He sets me up with an alternate email address in his company's name and puts me in touch with the end client. I do a test piece and they love it, but things went awry with billing. I'm getting emails between the two of them and they're disputing whether to handle their transactions via check or electronic payments. It turns out, the guy is making double what I am on each transaction and will pocket about $400 per month for doing nothing, but he's fighting over getting a paper check from the end client, saying paper checks are too expensive. So, the end client dropped him and told him we're done.
Needless to say, I'm a little miffed that the guy misrepresented my relationship with him and is pocketing so much money on a monthly basis, seemingly forever, but that's the nature of the beast. My agreement was with him and not the end client. Had I learned of this under normal circumstances, I might have let it be because he'd be fulfilling our agreement. However, now that the end client has terminated her relationship with him, is it ethical for me to contact her directly and let her know that I operate independently? I'd like the ongoing work, even at my normal rate, without his middleman markups, but the whole situation makes me feel icky. I don't know what their relationship is, but it appears to be a curt/formal business relationship. Also, I'm not really worried about laws- I have no written agreement with either of them and my contact didn't ask me not to talk to the woman or tell me I had to do business through him, but there's obviously the implication of discretion. Ergo, this is an ethics question, not a legal one.
I would do it, but first I'd pick up the phone and call him and tell him I did it and why. Misrepresentation, of any sort, nullifies any previous arrangement. That's not my opinion, that's the law.
It's a dog eat dog world JA, this is a misrepresentation that you know about, imagine what you don't know. My opinion, and you do what you wish, cut ties with that guy and let him know why. That's the ethical thing to do, not just for yourself, but also those he may have already taken for a ride.