About Signing that Contract
A contract is a legally binding agreement between you and the venue, be it a hotel, a restaurant, a resort, a caterer or other organization that's providing services . You will be committing to pay for "x" number of people at "y" price. If your contract specifies a minimum number of people that you guarantee, then you will be responsible to pay for that number. So if our minimum is 125 people and only 100 show up, the signer(s) of the contract is/are responsible for paying for those 25 people. At say, $50.00 a head, that would be $1250.00 you would still owe the venue. You don't have to pay tax for those 25 people, nor the tip (as much as 21%) on those 25 people. But you do have to come up with $1250.00 This is why negotiating to lower the minimum number of people to hold the room is very important. Now suppose you have a reunion planned and a contract signed and for some unforeseeable reason you have to cancel it. Well guess what? You are still responsibl...