Iam am a member of a car club who has been honoured with the task of hosting a national event for 12 other clubs and

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Customer: HI, iam am a member of a car club who has been honoured with the task of hosting a national event for 12 other clubs and hundreds of car owners over labour weekend2021. we have financially committed to this event. But due to covid19 the committee and hosting club for 2020 have decided they cannot host the event due to restrictions on travel, numbers and unforseen implications of corona, they have rallied up other clubs to get a majority vote to take the 2021 event for themselves. this leaves us financially as a club and also venues that have been booked councils contacted and future sponsors out of pocket. this is a large event where clubs and hundreds of members are impacted. is there any law to stop them from just taking over or grounds to stand on to recoup lost revenue, income and sponsors.
JA: The Lawyer can help you with the statute of limitations for that. Before I connect you, is there anything else you'd like them to know?
Customer: i think i have covered the basic grounds. thankyou.
Answered by Chris The Lawyer in 2 mins 2 years ago
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Chris The Lawyer, Expert

Hi
I am a New Zealand lawyer based in Wellington and will help you with your question today. Please give me a minute to read the question

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Chris The Lawyer, Expert

I don't know the full details of your contractual arrangements, but if you have contracts with the various clubs, then this decision is likely to be a breach of those contracts, which would enable you to claim damages. Have there been any discussions with the hosting club for 2020? Are they aware that this has financial consequences for you?

Customer
i have spoken to the 2020 club, but said would give me 5 days to corollate all paperwork and present to them the position we are in at this time.
The clubs who host these events are done on a voting system and this is the way Our club was awarded the 2021 nationals. the voting is done via the presidents (club captains or representatives) of the clubs taking part in the national event.
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Chris The Lawyer, Expert

I think the decisions are somewhat shortsighted, and it is arguable that you have a claim against the parties who made the decision for interference with your contracts. Obviously as non-profit organisations, none of you will have large amounts of money, and I think it would be most important to explain to the 2020 club how this will be devastating for your club. If they do not cooperate, then you should publicise this more widely so that there is more discussion about how this decision has impacted your plans which were in place before this intervening decision. I would have thought that there is some crossover between the people who awarded your club the 2021 event, and those who are making the decision about the 2020 event being postponed to 2021.

Customer
I agree but unfortunately people are dealing withe the now and the impact covid19 is having. After the Hosting club for 2020 have put 30months of planning into place. they are using the financial impact of the loss of there event to sway clubs captains and representatives to force them to change their decision about 2021. sound quite petty but has implications either way.
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Chris The Lawyer, Expert

I assume they are in a position where they have lost over the 2020 cancellation but either don't understand or don't care if this has a bad effect on the 2021 event which you are hosting. As I mentioned before, potentially you could claim damages but you might be robbing Peter to pay Paul. I wonder if the most practical way would be to get experienced mediator to work with the decision-makers in both organisations to try to work out a proposal which enables the least possible losses

Customer
they are trying to get a decision made for them now before they open registrations to recoup any funds they have already outlaid as deposits on venues. this is where we are at with the process of our event.we rely on sponsors and fund raising to keep these clubs afloat. Looking over the minutes and responses towards our club hosting in 2021 and there is nothing about being able to withdraw, postpone or remove hosts for 2021.
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Chris The Lawyer, Expert

I assume that your position is being made known to the wider club membership. Obviously the decision to move the 2020 event will have financial implications because if it was completely cancelled, there would be money lost with deposits and other expenditure, but by moving it to 2021 that simply moves the losses to your organising club. So there has to be some middle ground to avoid a problem. I can only suggest that the competing positions should be explained carefully to the wider membership.I am not sure whether a court case would be the answer, partly because I am uncertain of the contractual nexus, but also because the cost would be very substantial anyway. What I'm saying is probably not very helpful for you. The only practical advice would be a joint meeting of the organising committees for both events to try to get some common ground

Customer
ok thanks very much.
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