If non refundable deposit was quoted - can I get this back due to Covid

VickyB333

I wonder if anyone can help me. I was due to take a course this month after it was postponed during the first lockdown and now postponed again. The company is saying that they will give refund but will not refund the £500 deposit which stated it was non refundable in the t and c’s at the time of booking in January. They say that Covid is classified as a force measure and in their T & Cs they state they will not be liable for any failures beyond its control.  I can not afford to lose £500 and I cant make the new dates and it seems so unfair that they get to keep this money – is there anything I can do? Anything I could quote? Many thanks for any help.

[Deleted User]

It's 'force majeure'.   This might be helpful:

https://www.farrer.co.uk/news-and-insights/coronavirus-contracts-cancellations-chaos/

unholyangel

Are you a consumer? Or was it a course for the purpose of your business? 

As long as you're a consumer then you should be entitled to a refund since the provider are unable to perform as agreed. The non-performance not being possible due to covid (and being outwith their control) just means they can potentially (depending on wording of contract) escape liability for damages of you finding a replacement, it doesn't mean they can keep money paid in advance for services not provided.

Have a look at CMA's unfair contract terms guidance

macman

Surely the determining factor here is whether the course dates were guaranteed, or whether the contract gave the provider the right to alter them with reasonable notice given? COVID doesn't come into the equation in that case, because it's not the provider's fault that the OP can't accommodate the new dates?

MattMattMattUK

Non-refundable deposit clauses are only legal if the cancellation is by the party who has commissioned the service, if the service is cancelled by the provider they are required to refund the deposit in full, including any part they deem "non-refundable". 

Jeremy535897

The determining factors are whether it is a consumer contract, and what the contract says.

VickyB333

Thank you all for you messages - I am doing a course to learn a new skill - which I will ultimately take into my business - so I am assuming that that does make me a consumer?  Within their t and Cs, they refer to the person as 'the customer'.

macman

So, it's a training course for business, and not a consumer course.

VickyB333

its a teacher training for yoga

unholyangel

macman said:

Surely the determining factor here is whether the course dates were guaranteed, or whether the contract gave the provider the right to alter them with reasonable notice given? COVID doesn't come into the equation in that case, because it's not the provider's fault that the OP can't accommodate the new dates?

No, not for a substantial delay because that creates a situation where the contract is only binding on one party and binds them to their side of the agreement even when the other side has failed to meet theirs. 

It would be like the OP going back to them and saying well rather than paying you £2000, I'm only going to pay you £1500 because I lost my job (or something else outwith their control), and the company still being legally obliged to provide the course on the new terms. 

unholyangel

VickyB333 said:

its a teacher training for yoga

Did you hold yourself out as a business when you contacted them/entered the contract?