Wedding Venue Deposit: Coronavirus Complications?

can a wedding venue keep your deposit coronavirus

The COVID-19 pandemic has disrupted wedding plans for many couples, forcing them to cancel or postpone their big day. This has led to concerns about the financial losses associated with breaking contracts, particularly regarding deposits for wedding venues. While some venues have shown flexibility, others have refused to refund deposits, citing non-refundable clauses in their contracts. This has sparked debates about the legal and ethical obligations of vendors during unprecedented times. Couples are advised to carefully review their contracts, looking for force majeure or act of God clauses that may provide remedies in the event of extraordinary circumstances. Additionally, certain laws, such as Georgia's O.C.G.A. § 13-4-21, may offer relief by excusing performance and refunding deposits when contracts become impossible to fulfil due to unforeseen events. In the absence of clear contractual provisions, consulting with a local attorney is recommended to understand one's rights and explore possible options for recovering deposits.

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If the wedding venue cancels, you are entitled to a refund

If your wedding venue cancels, you are entitled to a refund. This is a stressful and uncertain time, and it can be challenging to make sense of what to do. However, if your wedding venue cancels, you are entitled to a full refund.

Under the Consumer Rights Act 2015, if your wedding venue cancels, they are in breach of contract, and you are entitled to a refund. You can also claim for any additional expenses incurred in finding a new venue at short notice.

If your venue is unable to honour your wedding date due to the coronavirus pandemic and government restrictions, they should offer to reschedule your wedding. If you cannot agree on a new date, you are entitled to a refund of your deposit. The venue's contract may state that it is not responsible for unexpected events outside of its control, but this does not mean they can keep your deposit. If they cannot provide the service you paid for, they should refund your money.

It is important to communicate with your venue and try to work out a solution together. However, if they refuse to refund your deposit, you may need to seek legal advice or take further action to claim your money back.

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  • Policy Dates: If your policy was signed before COVID-19 was a known event in your area, claims related to the virus may be covered. For example, if your policy was signed in late 2019, before the coronavirus was widely recognised as an epidemic, your policy may include coverage for pandemic-related cancellations.
  • Specific Verbiage: Look for specific terms in your contract such as 'act of god', 'force majeure', or 'other unforeseen and unavoidable circumstances beyond the control of the two parties'. These terms may indicate that your policy covers coronavirus-related cancellations.
  • Cancellation Reasons: Some insurers may cover your cancellation if you can prove that it is due to the illness of the bride or groom, supplier failure, or other valid reasons not directly linked to the coronavirus.
  • Vendor Bankruptcy: If your vendor goes bankrupt due to COVID-19, you may be out of luck. Wedding insurance typically does not cover vendor bankruptcy, but some companies now offer this as an additional rider to their policies.
  • Travel Costs: If your wedding involves travel, some insurers offer riders that cover travel costs for VIP guests and the wedding party if they need to cancel due to coronavirus-related circumstances.
  • Cold Feet Coverage: Some policies offer 'cold feet' coverage, which will reimburse you if you choose to cancel your wedding for personal reasons. However, this may not apply if you are cancelling specifically due to COVID-19 concerns.

It is important to carefully review your insurance policy and ask specific questions about COVID-19 coverage. Don't assume that your policy covers coronavirus-related cancellations, and be sure to get specific confirmation in writing from your insurer.

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If you cancel, the venue may not refund your deposit

If you cancel your wedding, the venue may not refund your deposit. This is because, in most cases, the deposit you pay is non-refundable. However, this is not always the case, and it is important to check the terms and conditions of your contract. If there is no contract, you may be able to get your deposit back.

If you are unsure about whether to cancel your wedding due to Coronavirus, it is worth considering all your options first. Many couples are opting for a micro-wedding, which ensures the marriage legalities are completed as planned, allowing for a small celebration within restrictions. Another option is to postpone the wedding and plan a sequel wedding, where you can properly celebrate with a larger group of friends and family at a later date.

If you do decide to cancel, be aware that your venue and suppliers will almost certainly incur financial losses. They are not obliged to accommodate a change to your plans and may ask you to wait until nearer the wedding date to see if it can go ahead. If you have chosen to cancel, they may ask you to pay a second booking fee to secure a new date or pay a supplement for a peak date.

It is always worth speaking directly to your venue to understand their limitations and discuss your options.

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If you postpone, the venue may ask for an additional deposit

If you have already paid a deposit for your wedding venue, but you need to postpone the wedding, the venue may ask for an additional deposit to secure a new date. This is because your initial deposit was likely used to hold a set date. If you choose to postpone or cancel, the venue has the right to follow the letter of the Terms and Conditions (T&C) you signed and either retain your deposit or ask for a new one.

It is important to note that this is a legally valid request on the part of the venue, but it is also a pretty aggressive move and not very customer-friendly. If you feel that the venue is trying to leave it as late as possible so that government restrictions are lifted, and you have to cancel and pay a large amount of the total cost, you could try exhausting all avenues of reasonable discussion and then suggesting that you will post extensively about the venue on social media. Wedding venues live or die based on their reputation, so negative reviews about profiteering in the face of a national disaster could hurt their business. However, be careful with this approach, as you will be burning bridges with a venue you likely spent a long time choosing, and they haven't technically done anything wrong.

If you have wedding insurance, it may be worth checking if this scenario is covered. If you decide to cancel your wedding instead of postponing it, you may suffer a major financial loss, as many vendors will be unable to refund your deposit. If you postpone, the financial ramifications will be less severe.

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You may be able to claim a refund under new legislation

If your wedding venue has cancelled your wedding due to coronavirus, you may be able to claim a refund under new legislation. In New Jersey, for example, a new bill requires venues to refund any payments made for an event that was cancelled because of the coronavirus pandemic. This includes weddings, bar and bat mitzvahs, sweet sixteens, and other large parties.

In the UK, if your venue is closed due to a lockdown or other government restrictions, you are entitled to a refund. If your venue is open but you are unable to get there due to travel restrictions, you may also be entitled to a refund. However, if your venue is open and able to host your wedding, but you choose to cancel or postpone, your venue is within its rights to retain your deposit or ask for a new one to secure a new date.

If you are unable to get a refund, you may be offered a voucher or credit to use at a later date. Some venues are allowing couples to apply their deposit to a different event, such as a family party or birthday. Florists and bakeries may offer a credit that can be used throughout the year.

Frequently asked questions

First, read through the contract you signed to understand the venue's cancellation policy. If you cancel with enough notice and they can rebook the date, you may be able to get a full or partial refund.

If the venue is being unresponsive, try sending a certified letter, return receipt requested, outlining the situation and demanding an accounting for any damages and a return of your deposit.

If the venue is refusing to refund your deposit, check your contract to see what type of damage would allow them to keep it. If there is no damage, or if they can't provide proof of damage, you may have a breach of contract claim.

If you can't get married due to COVID-19 restrictions, you may be able to include a force majeure clause in your contract, which would allow you to get out of the contract or be excused from it.

If you've already signed the contract and paid the deposit, you may still be able to negotiate with the venue to reschedule your wedding or apply your deposit to a different event.

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