Episode 55: How To Legally Issue A Refund


 

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So your clients want to CANCEL their contract with you…
Rescheduling is no longer an option, and they are set in stone that they want a refund. 

 

Navigating these waters as a service-based business can be tricky, but it’s so important should you run into this sticky legal situation.  My first reminder for you is to still provide excellent customer service to your clients. Next, let’s *legally* walk you through the steps of how to provide this refund and how much you should refund!

 

Episode Highlights

  • Advice from the thousands and thousands of contracts I have overlooked this month alone.
  • How to inform your clients the value of rescheduling or postponing an event.
  • Why forced measure and acts of god does not mean the contract is null and void.
  • How to come to a mutual agreement with both parties.
  • Staying informed and up to date on not just county laws but statewide laws.
  • Why you should have the language retainer vs deposit in your contract.

 

Worth Noting

"Just talk to them, tell them that you have a plan. You have a plan for all of these COVID-19 situations, rescheduling events, and you are there. You have been in well-informed, you are keeping up to date with County regulations and State regulations. You want to articulate what your plan is as a service provider."

 

"They've probably paid for at least a retainment of services. That first chunk of change that they send to you for a hopefully non-refundable retainer. It should be stated as such in your contract. But they might have also paid for other amounts. If they had payment plans, they've probably paid for more than that."

 

"Generally speaking, courts do not like the term deposit for service-based businesses. Deposits are more like in the landlord-tenant law, like a world where you get your deposit back if you clean the apartment and leave it as you found it kind of thing."

 

If you are full service planner listen to this episode on The Legal Paige podcast with guest Brandee Gaar! 

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