Legal Question in Business Law in New Jersey
Party Bus Charter for Senior Prom
I contracted with a limousine service to take 10 teenage couples to their senior prom. The cost is $1,123.75 of which a $300 deposit was made. I have received $824.30 from 8 of the couples. Now the little darlings want to cancel the bus. If I cancel, I am sure the $300 deposit will be forfeited. Am I legally obligated to refund all the money to the eight paid couples or may I deduct the cost of the deposit from what they gave me?
2 Answers from Attorneys
Re: Party Bus Charter for Senior Prom
Were you doing them a favor and acting as their agent? If so, the loss should be the teenagers.
Was this a business venture for you?
What was the agreement between you and the teens?
Are you an adult or a teen?
Can the teens legally contract?
The right answer in this situation may have nothing to do with what the law says but what is morally right in this situation.
Good luck to you.
Re: Party Bus Charter for Senior Prom
What I would do in your position is this:
1. Contact the limo service and cancel. Confirm that can be done for the $300. Try to get something in writing from them to the effect that everything is square and that they will not look for more money.
2. Having done that, divide the loss among the paying participants and return the balance.
Legal fine points aside, that is fair and the law rarely penalizes anyone for doing what is fair.
See also: http://info.corbettlaw.net/lawguru.htm
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