Unfair Exhibition Event Cancellation Charges

od0s

Hi,

My partner and I have a small business. We have exhibited at Bluewater Wedding fair for the past 2 years at each event they have held.

The last event was in March. We did that one and on the final day when we were packing up, we were tapped up by one of their sales team. They offered us a £40 discount for booking a stand for the next fair (in October 2014) and the one after in Feb 2015.

Each fair is charged at £1099 inc VAT.

I have paid a deposit of 20% £220 for the Autumn Fair.
No deposit paid for Feb 2015 fair, just a booking form signed.


Now, my business is a limited company, but due to going back into employment, the business is on the back burner and we cannot do the fairs. We have emailed to cancel them.

I assumed we would lose the £220 deposit, but that would be it.

However, the form we signed says:

I book the space allocated to us above and I agree to abide by the exhibition terms and conditions which form part of this contract, a copy of which I have received, read and understood. I agree to pay the installments as they come due, or I will lose the right to my allocated stand.



Now, we didn't get given these terms and conditions when signing, but they have been emailed through to us afterwards.


Upon requesting cancellation we have been referred to a part of the contract that says:

Where an Exhibitor who exhibited at the previous exhibition is
rebooking a stand under the terms of a rebooking offer the
Exhibitor will only be entitled to cancel the contract without
payment if this is explicitly written, with an end date, on the
Booking Form.

5.2 Subject to clause 5.3 and notwithstanding any action taken by
the Organiser under clause 3.3 where the Participant cancels a
booking, or where the Participant fails to make a payment
under clause 4.1, 4.2 or 4.3 on the due date, the Organiser
reserves the right to cancel such booking or accept the action of
such Participant as cancellation of such booking and to apply
the following cancellation charges. Any notice of cancellation
must be in writing addressed to the Managing Director,
Mercury Events at the address of the Organiser and will be
effective when received by the Organiser.

Cancellation effective Cancellation Charge
More than 9 months prior to
the first day of the Exhibition: 20% of the Total Cost

More than 6 months and less
than 9 months prior to the first
day of the Exhibition: 60% of the Total Cost

Less than 6 months prior to the
first day of the Exhibition: 100% of the Total Cost

5.3 The Organiser will invoice the appropriate Cancellation Charge
which will be payable within 30 days of the invoice date. For
the avoidance of doubt the amount headed Cancellation Charge
represents an estimate of the liquidated damages, which the
Participant accepts as representing a fair estimate of the loss
suffered by the Organiser and is in lieu of any other claims that
the Organiser may have for the cancellation, including amounts
due under clause 4. The Cancellation Charge levied will take
into account amounts already paid by the Participant and
retained by the Organiser.


So they are now asking us for payment of a further 40% of the Autumn 2014 booking (£439.68) plus 20% of the 2015 booking (£219.84).



I feel so upset about this. They have had our business for 5 previous shows. They are insisting we have 30 days to pay these amounts.

Are we bang to rights over this? They offer no goodwill, and we feel like we were stitched up a bit! The stands sell very fast, and they have 6 months to sell our small space for 2014, and 10 months for the 2015.

It is not like we have left them no time to sell the space, and it feels like a sales tactic to make money out of people who are under pressure at a stressful time.


If anyone can offer advice as to who we could speak to about this, I would be most grateful.

My general feeling is we refuse to pay it and they have our deposit. My partner is very cautious and worried we will be in more trouble if we do not pay and they will pursue us for these costs.

AbbieCadabra

Very little protection business2business, all down to t&c's agreed. Might be some wiggle room as you weren't aware of full terms when you signed. How quickly did you get the email? Did you query these terms when you did get them?

Either way, i'd suggest you get some specific legal advice as it looks like they fully intend on pursuing.

As a Ltd. Co., unless you signed a personal guarantee, the debt would go with the company if you closed it. That's simply putting it, a lot more would need to be considered if you were to go this route.

I'm no expert, i'd definitely recommend you get proper advice

paddyrg

For £650 to get out of an agreement you made its isn't likely to be cost effective to engage a lawyer. Can you bargain with them to maybe waive the £200 charge if you pay the £400 one? Or ask for it to be credited to a future event? Basically find a way out that both parties can come away with concessions?