last minute cancellation-refund?

So....
I am completely booked through the month of July and half of August (particularly on Saturdays). My contract states that I will issue a full refund if I am notified of cancellation within 1 week. I think that is pretty lenient! I had a party booked for this Saturday and I have turned down 3 other gigs.. including an awesome opportunity to do a corporate gig for a large chain restaurant. Technically, she notified me 6 days before the event. In her email to me, she seems to feel entitled to her refund.

"Hi Katrina. I had a change of theme for my daughter's 1st birthday party this Saturday and am going to cancel my reservation with you.
Please refund my deposit to the original card that I paid with.
Thanks so much! I will be sure to call you in the future for other parties!"

I don't want to be nit-picky, but that policy has to be there for a reason, right? I refunded HALF of her deposit. (I only take 30% to hold a date, so we're talkin less than 40 bucks). Why do I feel so guilty?! This is the first time I have had to deal with this. Any thoughts from you guys?

I'm very strict about it if i actually have turned down other bookings for that date, and there's a minimum of 50€ that is charged for late cancellations...in the beginning you feel guilty, but you have to stand your grounds on your own terms, if you don't follow them, nobody will..

Yes, AND- it's not like someone is sick, there was a death in the family, or the entire party was cancelled- She changed her mind about the theme = not your problem. Personally, I would charger her half the fee for the party, not half the depost. So, you're nice than I would be

Thanks for the reassurance.

Could you change your wording in the contract from '1 week' to '7 days'? People hear '1 week' and they think: "6 days is about a week - near enough", whereas '7 days' seems more specific.

In my contracts for various entertainment things my clause is:

Cancellation 7 -2 days before, 50% of the total fee is payable, Cancellation is not official until payment has been received with written request to cancel. Canellation 48 hours or less before the event, full fee is due.

Yeah. My site actually does say "7 days".

I don't think I would've refunded any of her deposit, because she just decided not to hire you for an abitrary reason. If the birthday kid had fallen ill, family emergency, etc. - I would be more lenient.

Ya know, I agree with you Janna. In theory, I would probably say the same thing to someone. I could just tell she totally felt entitled to that refund. I bet she is going to be furious over the fact that I am only giving half. This is the same lady that was trying to nickel and dime me when booking the party. Oh well.

Kat's FacesForFun wrote:Ya know, I agree with you Janna. In theory, I would probably say the same thing to someone. I could just tell she totally felt entitled to that refund. I bet she is going to be furious over the fact that I am only giving half. This is the same lady that was trying to nickel and dime me when booking the party. Oh well.

Yeah you can definitely tell her tone in that e-mail! I wonder what she would've said if you said no.

I didn't want to find out.....lol

This was my response:

Hi Rebecca,

Unfortunately, I do have a policy that states I must be notified 1 full week prior to the event to receive a refund. I have that policy because I lose business when I cancel a party so close to the date. I have turned down several other parties during that time, including one yesterday. As a courtesy, I have refunded half of the deposit. I hope you understand.

Best,

Katrina

Her deposit was $27, so I gave her $13.50. lol. Really not a big amount.

I keep the whole thing, and they are free to use it if they rebook within a year. My retainer fee is nonrefundable, unless I fall ill and have to cancel.

Must be something in the air right now. I have one that just cancled. Kept the depoist, but now have turned down work. That stinks. Also, been getting the nickle and dime calls all of a sudden. "hello, I need you for 2.5 hours, but can't pay you your full rate. Ok, I will just book an hour then" Ok, then YOU have to end the line so that I am out of your party in an hour, and YOU have to be the bad guy and explain to them that you are only paying me for one hour. Well see how that works.

gerr. I feel your pain.

Well, in the future you should NOT refund anything. In fact, you really need to make it two weeks notice because that is enough time to maybe call back those other potential clients and get a re-book for that day. 7 days isn't really enough to recoup your loss.

I put in my mini-contract that I will re-use the deposit for another date (I think I got that idea from someone here) if my schedule is open but it is non-refundable otherwise.

The deposit is her consequence for changing her mind. You need to make her pay for being flaky. She chose not to have a face painter. You lost hundreds of dollars...she lost $13.50, lunch at McDonalds.

Sorry that happened to you but you are too good to let her mess with you.

D.

Mine is 14 days prior. If I were you I may take it longer than 7 or do like rentals... They refund only if the date is rebooked. I think it's rediculous that she feels a change in theme is a good reason to get a refund 6 days prior, especially when it potentially cost you hundreds. You were nice to give her half and if she kept you in mind for next time I would only do it if she paid full at booking.

Gotta agree with everyone else on here. Change the contract to seven days. Also, I call my deposit a 'non-refundable retainer fee' and have the client pay $50 (I got that from someone on the fpf - maybe Perry?). If someone gets changes the date or cancels, the deposit is mine and can be used again within one calendar year. If the second make up date is cancelled, then the next time you book you need to pay an additional $25.

Not due to circumstances beyond her control (weather, illness, emergency) I think you were very gracious to refund any part of her deposit!

I include a disclaimer in my agreement that says something like "we will make every effort but cannot guarantee to accommodate postponements due to unforeseen circumstances such as weather or illness. Deposit is non-refundable except at the discretion of company owner.". They have to sign off on that disclaimer. I include the mention of except at the discretion because people here are always worried about the "what-ifs.". If it pours rain and infant fit 1000 people in my house can I get my deposit back? If its Johnny's bday and he gets sick, can I get my deposit back? Etc. I have an event planner dragging his feet to get my deposit to me for this Saturday's out of state event. I told him if I don't get it by this Wednesday, I'm not coming. The deposit is only $25 for heaven's sake! And he better plan to pay the balance with a CC or cash because I am not sure I trust him!

On the advice of a lawyer, i state in my e-mail signature: all bookings are subject to our general terms and conditions, to be found here (with the link)

In the lawyers opinion they can't claim to not understand or know of the terms, since they replied to the e-mail afterwards.

Thanks for the input everyone! I like using the fee toward rebooking.

It helps soften the blow a bit but you deserve that deposit if you've had to turn away gigs because that day was taken.

Well, I rebooked for that time slot today. All is well.

Good karma! Yay for you.

D.