Legal Question in Entertainment Law in United Kingdom
Sponsorship
I recently entered a sponsorship deal with a large company to coordinate and put on an event. We received 2 email confirmations that we were to go ahead with the work and that the money had been approved. We also received a contract that we were amending. The company then pulled out of the deal due to bad media press and now refuse to pay for work that had been outsourced for the project, claiming that because we had not signed the contract they aren't responsible even though we received both written and verbal confirmations. We are not asking for the full sponsorship money but only for costs that we had to cover. Are we entitled to claim some form of damages that could cover this?
1 Answer from Attorneys
Re: Sponsorship
You can make an enforceable contract both orally and in writing and the fact that you were still negotiating a long form agreement is not necessarily fatal to you case.
Resolving if a contract came into existence and what you would be entitled to as a result of the other parties breach will require a detailed explanation of the surrounding facts and written and electronic communications.
You will have to take formal Legal advice about this but it does sound as if you had reached an agreement.
You would be entitled to your direct loss subject to a general duty to mitigate.