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Ed Turner
Ed Turner,
Category: Law
Satisfied Customers: 1910
Experience:  Director and Consultant Solicitor (Self-Employed) at Ed Turner LLB Limited
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We are a small companionship business and a gentlemen asked

Customer Question

We are a small companionship business and a gentlemen asked us to accompany him on holiday verbally 2019 he booked it it was cancelled and rebooked again July 2020 to fo 13th September for 4 nights we have not heard from the client or family since 2020 July and as we are going through a pandemic all our staff at this moment in time are dropping like flies with positive covid tests so do not have the staff to take him and feel it’s not safe sending staff on a 8 hour bus journey to Newquay wearing a mask and that area is on full alert as cases very high are we legally responsible for the payment of this holiday ? Thanks Rackel
JA: Have you talked to a lawyer about this? In which country do you live? If different, which country is your legal question related to?
Customer: england
JA: What steps have you taken so far?
Customer: Spoke to citizens advice who said maybe get legal advice
JA: Is there anything else the Lawyer should know before I connect you? Rest assured that they'll be able to help you.
Customer: No
Submitted: 14 days ago.
Category: Law
Customer: replied 14 days ago.
How long does this take
Expert:  Ed Turner replied 14 days ago.

Hello.   I am Ed, a Solicitor qualified in England & Wales with over a decade’s experience in the legal profession advising clients.

I specialise in Commercial Contracts, Business Transactions, Employment, Dispute Resolution, Personal Injury and Road Traffic Law and shall be reviewing your legal problem today.

Regarding the site’s automatic offer of a Premium Service Phone Call, I shall be delighted to talk with you by phone to discuss your issue in greater detail if you accept the offer.

However, if you do not want a phone call, please cancel the offer for a Premium Service Phone Call and you will not be charged extra.

Expert:  Ed Turner replied 14 days ago.

In view of the global crisis surrounding Corona Virus and countries and companies going into lockdown and many sales of goods and services providers are cancelling their contracts with immediate effect and refusing refunds on goods and services paid for but not provided.

Parties may have the common law defence of “Frustration” or the express contract ground to terminate the contract due to a “Force Majeure” Event (“FMR”).

A contract may be discharged on the grounds of Frustration when something occurs after the formation of the contract, which was not within the parties’ reasonable contemplation when the contract was formed, rendering it physically or commercially impossible for one or both parties to fulfil their contractual obligations.

FMEs are expressly stated in written contracts and generally include events such as natural disasters, disease-epidemics, war and other “Acts of God”.

A party to a contract may be entitled to argue that the current global Corona Virus crisis has Frustrated the contract and is an FME meaning that it is impossible for them to perform their obligations as originally anticipated making performance of the contract impossible.

The result of Frustration and FME is that the contract is immediately terminated, and the parties are discharged from their further obligations under it.   There is no automatic right of damages for breach of contract to place the buyer in the position they would have been in had the contract been fulfilled, nor to return the parties to their respective positions before the contract was formed, such as refund and replacement.

However, the parties are not released from obligations that should have been performed before the frustrating event, which they can remain liable.

In relation to sums already paid under a frustrated contract, the Law Reform (Frustrated Contracts) Act 1943 may entitle you to receive a refund on monies paid, subject to an allowance for the expenses that the seller incurred for the purpose of performing their side of the deal.

Similarly, if the seller was owed money under an obligation that fell due before the contract was discharged via frustration, the buyer does not have to pay the full price, but only sufficient monies in respect of expenses that they have incurred capped at the total amount that the buyer had owed.

Therefore, a good result in the circumstances would be a partial refund, or holding the contract open for performance at a later date when the global crisis is over.

Expert:  Ed Turner replied 14 days ago.

I hope this resolves your enquiry.   Please revert to me if you require any clarification of my answer to your question and I shall be delighted to assist.

Kind regards

LawyerEd

Customer: replied 14 days ago.
I did not buy the holiday our client did but they are saying because we can not go we have to refund the clients money they paid for the holiday
Expert:  Ed Turner replied 14 days ago.

Did the lockdowns and covid-19 pandemic prevent you from providing the services?

Customer: replied 14 days ago.
Do not want a premium phone call thank how do I cancel this
Expert:  Ed Turner replied 14 days ago.

That's ok.

Please answer my above query: "Did the lockdowns and covid-19 pandemic prevent you from providing the services?"

Customer: replied 14 days ago.
Customer: replied 14 days ago.
Do not want a call back
Expert:  Ed Turner replied 14 days ago.

In that case, see my long answer above re Frustration and Force Majeure defences.