Contract
A contract within the context of the event planning industry is no different from a contract in any other industry. Simply put, a contract is a legally binding agreement made between two or more parties. It is very necessary in business situations as verbal agreements can always be misunderstood or misinterpreted. If a contract is signed between two or more parties in the event planning industry, a deposit is soon to follow whether it is from a client to an event planner or an event planner to a vendor. A contract states the mutually agreed upon conditions between two or more parties and once it is signed it becomes law. It is a legally binding document that ensures that each of the parties will follow through with what they are supposed to. “Legally binding” means that the document will withstand court if either party decides to sue. In the event planning industry contracts are drawn up between:
- Event Planners and Clients
- Event Planners and Vendors
- Clients and Caterers
- Event Planners and Venues
- Event Planners and Event Staff
The contract lists the terms of payment and all of the specifics of the agreement including:
- Delivery pick up and drop off times
- Cancellation parameters
- Event Time, Date and Place
- Work Hours
- All expectations
The contract is provided to list in black and white all expectations even if they have not been verbally expressed. Before signing a contract it is important to read it in its entirety because your signature denotes that you agree with everything that has been written. If you do not, it is up to you to attempt to change or clarify those points in which you are not comfortable with. After an event planner prepares a proposal and it is approved by the client then they can draft a contract. The contract will state everything the event planner agrees to do and will request both signatures. A contract is better than a verbal agreement because if something goes wrong, a contract is a legal document and the responsible party could be sued.
