Legal Question in Business Law in Minnesota

We are a vendor and we paid a promoter the full booth fee plus a handling fee. The show was cancelled due to Coronavirus . The promoter charged us a cancellation fee... the cost of the booth. They said all vendors who are attending their next show and hadn’t paid for it yet could apply the charged cancellation fee could apply it to the next show. We had already paid the fee for the next show so we are out of the money. Isn’t that illegal since there was nothing given in the exchange on one side?

Asked on 4/27/20, 12:02 am

1 Answer from Attorneys

David Anderson Anderson Business Law LLC

It's all about the contract. The language regarding cancellation and related fees should be spelled out. This is not a consumer contract, so both parties are assumed to be able to negotiate and arrive at terms for which they will be bound.

I would review the contract and provide an Opinion for a fee, and write a letter to the promoter if appropriate.

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Answered on 4/28/20, 4:17 am

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