Cancellation fees of an event

[Darmy1]

I booked a work event and signed a contract. They asked for an upfront fee/bank details and some more details which I did not give to them at the time. They asked for menu options to be submitted by a certain date, which I also didn’t do. This was November and haven’t heard off them until yesterday.

We’ve now had to cancel (it’s next week) and the venue is asking me for 100% of the costs due to last minute cancellation.

I understand the contract states it’s cancellation fees however we didn’t pay any deposit as requested and didn’t hear anything since. Am I still liable to pay?

edit: in the notes of the contract it does state £10 per person deposit is required to confirm spaces

So if you are having to pay 100% of the cancellation costs anyway, why don't you all just go?

Thanks everyone 👍

That would make more sense to be honest. Given it's costing you 1500 quid either way.

I think you need to have a conversation with your bosses about this with as clear a record as you can find of the sequence of events.

If you made a booking and have cancelled then (IMHO) you/employer are hooked.

If they're trying to say what you thought was no more than an invitation to give you a cost has been treated as a booking then there's some wriggle room.

Either way you need to speak to your managers.

It wouldn't be a cancellation fee if they want to charge you the full cost of x meals.

They would need to provide those meals!

I am organising our Xmas party and before money is paid I assume they can cancel it all (but we don't have any signed contracts)

Assuming they have not actually incurred any costs as they don't know what food is wanted currently, I'd offer the deposit £10pp or sone deal to have a cheaper new years event.

What's the full amount due and how much would it cost them to sue the company rather than accept a reasonable compromise. (Ie £1500 isn't worth going legal over especially as they have not followed up earlier when you sent no money nor provided any food orders. They need to mitigate their costs and act reasonably too.

I agree with @Bromptotoo, talk to your managers asap and explain. Are you worried that you, personally, are the one to pay? You shouldn't be. You've made a cock up by the sounds of it and need to fess up, but I doubt any employer would take it out of your wages! Especially if they're big enough to have a finance team.

If it were me taking the booking i would say that aa no deposit has been paid then it is not confirmed , they should have either chased you up for payment sooner or told you that your booking was cancelled before now so they could take another booking

In catering a deposit secures the booking until the deposit is paid the reservation is still open to others. So the restaurant could have sold the reservation to other customers. Based on that I would say the contract isn't binding although this is extremely unfair on the business. It would be reasonable to cover the businesses losses.

Yea losses would've profit on the event

That would effectively be using OP's failure to comply with the contract (i.e. failing to pay the deposit) to justify further non-compliance (i.e. failure to pay for late cancellation). Yes, they could have used non-payment of the deposit as justification to cancel the contract, but they did not have to do so and they clearly have not done so.

Since the event was booked for Monday afternoon next week, the venue may well have incurred some costs it cannot recover. Also, remember that OP is acting on behalf of her employer. Commercial customers have less protection than consumers.

The first of my posts above was a reply to @topnoddy

You signed a contract. What does it say in the contract about cancellation? That will be your answer. If you have to pay anyway why not just go?

What did you sign up for in the contract?