Country house

[TheZeppo]

We have booked a large country house retreat for a whole weekend at the beginning of June for a family birthday. There will be over 40 people attending from around the country.

Obviously, we are unsure if this will be allowed to take place given what is happening. The venue are offering to move our booking, but only to weekday nights. For many reasons, this is impractical. They have refused our request to move to another weekend.

Their t&c say they can cancel or move dates for exceptional circumstances and that there will be no refunds. Would this be considered an unfair clause?

The venue say we can cancel and claim on our insurance, but the insurance company say the venue should be offering a refund.

I appreciate it is still a few weeks away and no one has a crystal ball, but if we cannot attend (government rules), would we have a claim with the small claims court?

Thanks in advance. I never want to plan anyone’s party ever again!

This is governed by the doctrine of frustration which in essence means you should receive a refund in full if the event cannot take place due to covid restrictions. The term is probably an unfair term as there is a huge difference in weekend functions and midweek functions in terms not just of price but practicalities of guests being available. You would most likely be successful with a small claim but nobody can say with a 100 percent certainty. If you paid a deposit or the monies in full of over 100 pound on a credit card you would also have a claim against the credit provider under s 75. Hang on and wait and see what happens. If we are all still social distancing then with gatherings banned they would have to refund you as you can't really move a birthday celebration more than a week or two because it won't be their birthday week or month. If they still refuse send a letter before action followed a couple of weeks later by a money claim online.

We've got a holiday cottage booked for May HT where the holiday company is offering transfer to another date or "claim on your insurance". Ours doesn't cover pandemics and I can't book a/l for next year at the moment.

I'm going to argue frustration of contract if the lockdown period gets extended.

What do their terms and conditions say about what happens if the house is unavailable?

Thank you both!

The terms and conditions say that they reserve the right to cancel or move the dates. They say no refunds under any circumstances.

They have since offered us a weekend in August, but as you say- that is not their birthday!

I am concerned that this offer means they are fulfilling their contract?

I have been reading about Frustration, but it does mention force majeurre and geek the conditions, so I’m not sure if the Frustration argument would still work? I’m out of my depth, it just feels very unjust!

Geek the = health conditions

Yes the contract will be frustrated, contracts cannot deprive you of your statutory rights quote them the Law Reform (Frustrated Contracts) Act 1943 s1 ss 1 and 2 which is replicated below. Basically they may take out of the refund any expenses incurred, but I very much doubt they have incurred any at this stage. If the performance of the contract would mean breaking the law it is without doubt frustrated. My point about the contract seeking to deprive you of your statutory rights refers to the Consumer Rights Act and unfair terms. I have no doubt that if no refunds under any circumstances is in their contract it would be deemed unfair. Schedule 2 gives examples of unfair terms but the list is not exclusive, just examples of type.

Your position is a strong one. Wait and see what happens and if it is unable to take place, which I doubt, and they will not refund, as I said, send a letter before action encompassing your claim and the points made above and remind them they should take legal advice giving them 14 days before issuing a mcol.

Hope that helps. There will be loads of these cases . . .

*(1)Where a contract governed by English law has become impossible of performance or been otherwise frustrated, and the parties thereto have for that reason been discharged from the further performance of the contract, the following provisions of this section shall, subject to the provisions of section two of this Act, have effect in relation thereto.

(2)All sums paid or payable to any party in pursuance of the contract before the time when the parties were so discharged (in this Act referred to as “the time of discharge”) shall, in the case of sums so paid, be recoverable from him as money received by him for the use of the party by whom the sums were paid, and, in the case of sums so payable, cease to be so payable:

Provided that, if the party to whom the sums were so paid or payable incurred expenses before the time of discharge in, or for the purpose of, the performance of the contract, the court may, if it considers it just to do so having regard to all the circumstances of the case, allow him to retain or, as the case may be, recover the whole or any part of the sums so paid or payable, not being an amount in excess of the expenses so incurred.*

and if it is unable to take place, which I doubt I meant it is unlikely to take place.

Cinderella66 what a very kind person you are to have helped me so much!

This is wonderful, it has helped me understand it much more and will help with my letter to them.

Again, thank you