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Hotel gone into administration - advice please!

Had a call from my sister to be last night telling me their venue for the reception has gone into administration! There wedding is 5 weeks on Saturday so you can imagine they were going crazy with worry. :(

They have had a letter from the administrators to say that as they have paid a deposit they agree to carry out the contract as per the original agreement (subject to the balance being paid) and if any other business takes over the hotel in the meantime, they will also be contractually obliged to fulfil their contract.

My main worry is that if they paid any money, this would just be taken by the administrators to pay off bad debts and not actually used for their wedding. I have said if they do decide to pay they must do it by credit card to get the extra cover. Would section 75 still apply in this situation?

So really just after advice if they should be calm and beleive the administrators promises or start looking for another venue?!

Clare x
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Comments

  • RainbowDrops
    RainbowDrops Posts: 4,674 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    First thing first, have they got wedding insurance?
    If so, they should contact them and get advice.
  • I would also maybe ask on one of the other boards that is more about consumer advice as I'm sure there are experts there.

    Hope she's got insurance.
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  • sammy_wheeler
    sammy_wheeler Posts: 2,351 Forumite
    i would say check about wedding insurance

    and also if they have to keep orginal contracts then she should be ok
    has she been in to chat with them?
    Is a married woman!! 23rd July 2011 Best day of my life!

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  • CM66
    CM66 Posts: 602 Forumite
    Part of the Furniture 500 Posts
    Thanks for all your replies! Dispite me telling them so many times, they never took out insurance :eek:

    They have a meeting with the hotel today, so will see what they say. I'm just more concerned that if they pay any more money the administrators will say thank you very much, and by the way your wedding is cancelled!!

    Just wondered if anyone else had faces a similar situation?
  • sammy_wheeler
    sammy_wheeler Posts: 2,351 Forumite
    ohh not good that she didnt take insurance- this is the exact reason why ppl should!

    hopefully the meeting with them will shread some light on the issue
    Is a married woman!! 23rd July 2011 Best day of my life!

    TTC first baby Jan 2013
  • pelirocco
    pelirocco Posts: 8,275 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    Administrators are brought in to run the business either until a buyer can be found or failing that until it is deemed they can not obtain any more money for the creditors , and a time scale is normally given ( around 10 weeks? ) . If the administrators say the wedding can still go ahead , then it will . They cannot take any further payments and not provide the service
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  • Mrs_Moore_To_Be
    Mrs_Moore_To_Be Posts: 1,294 Forumite
    DO NOT WORRY

    Our venue went into administration over 6 months before our wedding! They were still in administration when we got married, and actually have now been bought.

    No weddings were affected and there was no difference whatsoever. Its natural to panic - I cried! But actually the administrators running it is no bad thing at all. Tell them to talk to the hotel, let them put their worries at ease and not to worry any further xxx
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  • harveybobbles
    harveybobbles Posts: 8,973 Forumite
    sansur9941 wrote: »
    This is the chat

    !!!!!!.................
  • melancholly
    melancholly Posts: 7,457 Forumite
    1,000 Posts Combo Breaker
    !!!!!!.................
    no idea, but it's the same phrase on 6 other threads and i wish i hadn't clicked on their homepage!
    :happyhear
  • LEJC
    LEJC Posts: 9,618 Forumite
    sansur9941 wrote: »
    This is the chat

    Its a way that some new users try to increase their post count so when they start to spam its not so obvious!
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