The post-Covid-19 contract

At the moment we don’t know how long Covid -19 will be here for and how it is going to effect the events industry in the long-term. However, event organisers are planning conferences and meetings for 2021 and will need to look at the contracts carefully before signing. The key is flexibility, not something we usually expect from a contract.

Both parties need to comply with the Covid-19 guidelines to follow safety measures. The venue may be required to change arrangements at the last minute so that they can adhere to local or national legislation.

Some of the items that need to be considered in the contract are:

Space contracted

Not only will everyone need more space for social distancing, but exclusive use of areas is very important. Your group might be happy to mix with each other, but probably won’t want other groups sharing space for breaks or for meals. Check the areas you can have for exclusive use and how this will be managed. Maximum delegate numbers will be strictly imposed so there is no crowding and full details of every attendee need to be recorded. If delegate numbers decrease significantly at the last minute, then the venue may want to charge a fee to cover any costs that they have incurred.

Service provided

More staff that previously will be needed to service the meeting rooms quickly, serve breaks and meals etc. Make sure the quantity is specified in the contract. Depending the length of your event, you could ask for the same staff to be used throughout, for banqueting, kitchen, front of house etc to minimise risk. Will the staff wear masks throughout and will you undertake that all attendees wear masks too, except when eating and drinking?

Venue facilities (spa, golf course, swimming pool, restaurants etc)

If facilities that are important to the event are unavailable or closed, what would you like to happen? The option for cancellation, rate reduction or the provision of alternative facilities elsewhere needs to be considered and written into the contract.

Cleaning and sanitation

Make sure the contract specifies what must happen, when and how. Is there a set of guidelines in place, either from the venue and/or an industry/association standard that will be strictly followed.

Postponement

If an event is postponed this must be put in writing. Agree on new dates, space, rates, concessions, service charges etc and make sure every detail is checked before signing a new contract or addendum. If there is a postponement fee, agree how much it is, when it will be paid, currency and any repercussions if it isn’t paid. Venues have been good about offering re-booking options, but they do need to set a time limit and may not agree to further cancellations.

Force Majeure

A clause about Covid-19 needs to be included to specify what conditions apply. Add a time frame to this section in case you need to cancel or postpone allowing you enough time to make alternative arrangements. It is almost impossible to get Covid-19 or other pandemic insurance now, so it will be national or local restrictions that are important here.

Deposit

If a deposit is non-refundable, this needs to be made very clear and should only be a small percentage of the total booking value. The time periods for cancellation should be proportionate to the venue’s ability to resell the cancelled dates.

This article does not constitute legal guidance, it is for information only and you should consult a solicitor for further advice.