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Tough call which only you really can make. For myself if I needed the work I would try to figure out how to work with him (as in you stay in control by understanding the personality you are working with). If I had so much work that they really would not change my yearly income I would pass. Not to many people working have that opportunity though. As is pointed out a lot here on GS this is a people business as much as an art.
edit:When you say "threatened you", do you mean physical threat?
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