is a Contract?
It is an agreement that is enforceable by law.
What is an Agreement?
An agreement is a promise or set of promises.
When is a contract considered
to be valid? A Contract is considered to
be valid when:
1. The agreement has been made between two or more parties
who are legally competent and authorized to enter into a
contract. For e.g. you can not enter into a contract with
2. The agreement has been made on the free will of the parties.
Free will means, the agreement has been made:
- Without giving threats or use of physical force.
- Without any undue influence i.e. party in the dominating
position didn't take advantage of its position or authority
to get consent from the other party.
- Without fraud. Fraud means deceiving or misleading someone
- Without misrepresentation of facts.
- Not by mistake. You can declare a contract as Null and
Void if you are able to prove in the court of law that the
agreement has not been made on the free will or the other
party is not authorized or legally competent to enter into
3. The contract contains consideration (i.e. benefits and
detriments). A contract without detriments (i.e. damages
and harms) is legally insignificant. For e.g. if your contract
doesn’t contain the penalty/compensation if a certain
clause is violated, then it has no significance whatsoever.
4. The objects and consideration in the contract are not
lawful either wholly or in parts.
Important points to remember
while contracting Event Venue
1 Whatever you negotiate, whatever that is offered to/by
you or mutually agreed upon (including venue services, fees,
items' cost, rules and restrictions), should be specified
in a written format duly signed by the parties who are entering
into the contract and who are legally competent and authorized
to enter into a contract.
Never negotiate anything verbally. If the other party refuses
to accept your proposal or there own promises in a written
format, then don't do business with them.
2 Decide the compensation in case your event is forced to
shut down or cancelled because of: noise ordinance, venue
staff strike, change in the management staff, change in
the ownership of the venue, buy outs, bankruptcies or other
guests housed by the venue who are not associated with your
3 Make sure that the contract guarantees:
- The booked dates, time, venue space, return of deposits.
- Exact, itemized list of all the services promised and
the fees associated with those promised services including
maximum cost (i.e. the cost will not go over this amount)
- Promises and commitments discussed and agreed upon.
4. Never sign a contract immediately after the venue inspection.
Take a copy of the contract agreement home/office. Read
it thoroughly several times and discuss it with your team
members and/or a lawyer. Compare the contract with contracts
of other venues and then accept/reject it.
5. Always take legal advice to review the contract for you
and make sure that the contract protects your interests
against forceful shutdown of the event, venue staff's strike/shortage,
and change in the management staff or ownership of the venue,
buy outs, bankruptcies or violation of any agreement or
During contracting with the
venue manager make sure that your contract contains the
1. There should be no construction/repair work of the venue
building or any of its parts without prior approval on the
day of the event. (Decide the compensation with the venue
manager if this clause is violated.)
2. No other event can take place in the selected venue on
the day of my event. (If this is not possible then make
sure that the other event doesn’t affect the services
provided to you by the venue like shortage of staff or parking
space. It should not produce any party noise, music or announcement
that affects your event's programs. Decide the compensation
with the venue manager if this clause is violated.)
3. This contract is all inclusive and no other oral or written
contract exists between the two parties stated in this agreement.