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In March 2013 I entered into an agreement via email to pay

for a promotional service from...
In March 2013 I entered into an agreement via email to pay for a promotional service from a Dutch website 'Rishis' that lists events. (http://www.rishis.nl/nl/index/)
Although I havent signed a contract, which they said they would send me, and didn't. I also have yet to pay them any money.
The agreement was that they would list our events for 624 euros. The first of which is on 12th July 2013 and last one is on 17th November 2013.
However we have been accruing losses in this particular venture and have found that with one month until the first event, their promotion plus our other efforts have created just one single enquiry.
Today I have given Rishis notice to cancel their promotion of our events for these reasons. And almost immediately received an email in Dutch, declaring the money owed, plus 21% tax which was not discussed previously.
I want to pay them for the work they have done thus far, but consider payment of full amount absolutely outrageous given the circumstances. BotXXXXX XXXXXne is - Where do I stand?
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Answered in 44 minutes by:
6/4/2013
Buachaill
Buachaill, Barrister
Category: European Law
Satisfied Customers: 10,860
Experience: Barrister
Verified
1. At the outset, just because you did not sign a written contract, this does not mean that there isn't a contract between you. An oral agreement evidenced in emails is just as enforceable as if there had been a written agreement concluded between you and Rishis. Secondly, because you are English and the agreement was concluded with you in English, then you can assume that English law will apply.
2. Thirdly, where a contract is subject to an anticipatory repudiation, namely where it is brought to an end by one party before all of the obligations under the contract are performed, there is a duty on each party to the contract to mitigate their loss. This means that Rishis must stop work on the contract and are bound to be paid only what performance they have done to date together with any expenditure on the contract to date. Accordingly, Rishis are not able to claim full payment as if they had fully performed all obligations under the contract.
3. In this situation where only 3 of 8 months performance occurred, then Rishis would not be able to claim more than half the total fee agreed to €624 under the contract as most of the contract went unperformed. So I would simply tell you to offer them €300 under the agreement and tell them to mitigate their losses as they are only getting paid for the part of the contracted services they have performed as this is all they are entitled to under law.
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Customer reply replied 4 years ago

Thank you for your quick response, it is very clear, and appears to be very fair.

I double checked the actual date of my confirmation of agreement - 4th April, would that change the amount I will offer to pay them?

I am also concerned about what to do should Rishis continue to pursue their full fee, essentially ignoring my offer of payment?

 

4. The actual date on which work started changes little. Essentially, a rough approximation has to be made and the figures I have quoted you have not included any expenses Rishis may have incurred at the outset of the agreement. Essentially, you should negotiate with them and see what proportion of their contract outlay occurred at the outset. However, they have a duty to mitigate ie reduce their loss. Secondly, your only hope is that Rishis get some legal advice in relation to recouping the debt. In that way they will see sense at an early stage. However, most commercial organisations meet this type of problem at different stages so I imagine they will know what is required of them by law.
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Buachaill
Buachaill, Barrister
Category: European Law
Satisfied Customers: 10,860
Experience: Barrister
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