When an Event Is Postponed: Your Rights as a Caterer

Recently, a caterer found himself in a challenging situation: he prepared a significant order for 100 people and received only 70% of the bill in advance. The event was scheduled for today, but the venue contacted him, informing him that the event had been postponed.

The caterer, having completed his work and started cooking, now faces a complex situation. Here's what he should do to ensure he is fairly compensated for his efforts.

Understanding the Breach of Contract

The caterer should immediately inform the party he was contracted with that they have breached the agreement by postponing the event without prior notice. Due to the fact that he had already completed the cooking and prepared the food on the original date, the caterer is entitled to additional compensation to cover the extra work and time invested.

The caterer can suggest two options to the client:

Eitherto keep the prepared food, in which case the client must still pay for the 30% of the bill that was not already paid. Or return the prepared food, but the 30% of the bill is still due.

The client cannot shift the responsibility to the caterer, as the contract was for a specific date, and the caterer has fulfilled their end of the agreement.

Negotiating a New Contract

Both parties need to negotiate a new contract. This should include the same costs and terms but with a new date for the event. This is not the caterer's fault, but it is necessary to protect both parties.

It's important to note that contracts often include clauses that specify the consequences if the event is canceled or delayed. If such a clause exists, the caterer should refer to it for further guidance on payment obligations. If no such clause exists, it might be advisable to consult a lawyer to understand the legal implications.

Lessons from This Experience

Going forward, it is crucial to enforce the use of written contracts that cover all aspects of the deal, including cancellation policies. This will protect both the caterer and the client in similar situations in the future.

Handling the Food

The caterer must take immediate action to ensure the prepared food is not wasted. Depending on the remaining quality of the food, he may be able to sell it at a reduced price to local businesses or give it to a charity. This approach prevents spoilage and minimizes losses.

Proxy Payment and Notice

The client should have provided more notice about the cancellation, especially if they knew about it well in advance. It is not reasonable for the caterer to receive confirmation only on the day of the event.

For the final step, the caterer should ask for the delivery address or a pickup location for the remaining payment. Being open and consistent with communication can help resolve the situation more smoothly.

In summary, when dealing with event cancellations, it's crucial to have a solid contract and to handle the food responsibly to minimize losses. Proactive and open communication can also help mitigate future issues.