NSW Breach of Wedding Venue Contract?

[GregK84]

Hello,

I've recently signed a contract to hire a wedding venue but, due to some unforeseen changes in circumstances, we will no longer be able to go through with the wedding. I signed a contact but I haven't paid the deposit yet (the venue is asking about it). Will I be able to withhold the deposit and simply tell them that I have changed my mind or do I have to pay something, e.g. the deposit?

There is about 11 months to go and the deposit is $2000AUD. It's only been a weeks since I signed the contract and emailed it back to the venue.


Thanks very much,

 

[Lance]

Hi Greg,

What does the contract say? I have a work friend who went through the same thing but she had already paid the deposit. Her contract said that in the event of cancellation they retain 50% and hold the other 50% until the venue is booked for the same date as her wedding.

Personally I wouldn't pay anything until pressed too. I would be open and honest. Write a letter / email and explain the wedding is cancelled / postponed and you obviously need to cancel.

You could leave it to them to pursue the money, but look at the contract and see what you signed.

 

[GregK84]

Thanks very much Lance.

The venue is based abroad (in Asia) and the only information about cancellation is:

'Up to 151 days prior to arrival - 30% of room & catering charge

150 to 46 days prior to arrival - 60% of room & catering charge.

45 days prior to arrival - 100% of room & catering charge.'

I read that to mean that we will only lose the deposit up until 151 days prior to arrival and if we haven't paid that yet, we won't owe anything.

Obviously I want to be open and honest with the venue and I will be contacting them asap to explain the situation. They have spent a lot of time corresponding with us about venue hire and it's unfortunate we need to cancel.

 

[Rod]

Overseas laws will apply, not Australian. I have no idea how contract laws work overseas.

and if we haven't paid that yet, we won't owe anything.

Wishful thinking.

30% of room & catering charge

My reading is you pay 30% of the charge. It is not relevant whether a deposit has been paid or even the size of the deposit.

 

[GregK84]

Thank you but surely this is totally unreasonable if we have only just signed the contract and there is plenty of time for them to secure another booking? Would you pay?

 

[Rod]

It is not a question as to what I think is or is not reasonable.

And it may be as much cultural as it is legal in Asian countries. I'd be asking around if it is standard practice in that particular country to demand deposits in this situation.

Need to be mindful not to impose our values on businesses in other countries. Remember you are in their playground, not ours, so you play by their rules.