Legal Question in Business Law in California
Hi there, I'm currently trying to build a photography business, I work full time as a driver, but if I get enough work, I want to leave and become a photographer full time. I had a wedding booked and they paid a deposit of 180, and paid the rest 545 about a month ago. She then booked me for a pole studio session which I have done, but was not happy with my work, so has now cancelled her wedding and wants the full amount now, but I explain the deposit is non refundable and that I haven't got the full 545 to pay her now. I asked if i could pay other a few months as I'm on a low income and honestly don't have the money otherwise I would pay now. If i had any idea she was gonna cancel, then I would have not spent her money. Where do I stand, she is saying she might take me to court, but i am willing to pay, just need two or three months to save this up? Ur help would be great, thanks in advance
1 Answer from Attorneys
The refundable portion of a deposit or prepayment is probably a 'trust fund' and the client has a right to expect a prompt refund. Perhaps you should even keep refundable deposits in a separate bank account until earned or refunded. In addition to knowledge of photography, running a successful photography business will require knowledge of basic business practices. I would recommend taking care of this obligation asap so she doesn't report you to consumer reporting firms like the BBB or worse, take you to small claims court.
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