Agenda for today Schedule for tours Contracts

The Top 10 Things I Learned the Hard Way… to Put in My Contracts 

Things I am NOT~ Lawyer or paralegal Advocate of one-sided agreements OR

interested in adversarial relationships

What is a contract? Agreement between two or more

competent parties Offer is made and accepted Each party benefits Bind each party to promise – and action

to take if promise not met Like insurance – for both good and BAD!

Three Tips

Contract Tip #1 Start at the beginning

Info about group/meeting needs Specifications Concessions Contract requirements of organization

Stuff the lawyers want Deal-breakers

Contract Tip #2John’s Golden Rule of AgreementsIf you ask for something from the other

side before the contract is signed it's called ”Negotiating“

If you ask the other side for something after the contract is signed it's called ”Begging”

John Foster, Esq., CHMEMeetings Industry Attorney

Contract Tip #3 What is the value of this contract

to EACH?

Understand the business of EACH Planner: Why are we having this meeting

happening? What is at risk? What is expected return?

Supplier: What drives the business?

10 Things…

”We aren’t holding the room for you then.”# 10 Specific location names with

specific times

Date Time Room Name Description

April 14, 2012 12:00pm – 5:00pm

Super Duper Ballroom

Set-up

April 15, 2012 5:00pm – 9:00pm

Super Duper Ballroom

Performance

April 15, 2012 9:00pm – 11:59pm

Super Duper Ballroom

Strike/Load out

”I called and the hotel says the block is gone.”# 9 Sleeping Rooms

reservation method listing in hotel’s computer for “Group Name” type of rooms – suites, doubles, kings when rates apply/don’t apply/cut-off always ask about honoring rates outside the

dates! use specific dates and times –

August 31, 2010 at 5:00pm ET vs. 30 days prior to meeting

“Oracle is also in house – heard of them?”

# 8 Areas of “sensitivity” noise construction competitors VIP needs data privacy food donations accessibility issues

“You may load in yourself, but the freight elevator is union.”

# 7 Additional charges/fees/taxes newspapers/safe/resort fees/pool/spa set-up fees taxes gratuities overtime staffing

“When I opened the mail today, I discovered we have an accruing finance charge on a $100,000 bill.”

# 6 Billing timing What happens if payment doesn’t

happen?

“You can do that, but it is not in your contract.”

# 5 Spec change vs. contract change

“Congratulations – consider yourself acquired.”

# 4 What happens if…we CANCEL covers both sliding scales based on timing damages clearly spelled out

“Did someone say flood, flu or some other sign of the apocalypse.”# 3 What happens if…we CAN’T

Force Majeure (improbable/inadvisable) re-booking/re-sale options CAUTION! There is a war going on!

“You don’t have an attrition clause in your contract.”

# 2 What happens if…there is ATTRITION

show the “math” ($$ spelled out) sleeping rooms (cumulative) meeting space food & beverage minimums

“Who would have thought this could happen?”

# 1 We are not fortune-tellers, or are we?

In Summary…1) Start at the beginning

details, details, details special requirements of your organization

2) John Foster’s Golden Rule prior to contract = Negotiating after contract = Begging

3) Know THE business

Dralion Case Study

Next week Holiday Inn Tour