Breach of contract by booking company
i run an independent record label out of south florida. we are an s-corp.
we recently hired an independent tour booking agent to organize and schedule a 4 band florida tour. the deal was that we pay for all expenses of reserving clubs and guaranteed payments to bands per show.
our deal with the agent was he got paid profits of show from $0.00 - $1,000.00 then 40% after $1,000.00 profits.
The shows bombed due to lack of promotion on his part (0 kids at the first 2 shows- this is UNHEARD OF IN THE INDUSTRY!). We called the agent the night of the second show and told him we wanted out. there was no contract signed between booking agent and School Night Records. However, we did front him $300 + $400 of his "paycheck" for the first tour to help him with his car insurance and car payment respectively. At point of these loans it was understood by both parties that these funds were taken out of the "profits from the tour."
We pulled out of the tour. Shortly after the booking agent informed us that he signed paperwork with one of the touring bands record label UNDER school night records, which he is in no legal way a part of, stating school night records agrees to pay "Far-less & Classic Case" (two bands on that label) 150$ per show for this tour.
Classic Case dropped prior to the tour starting so we only paid Far-less for the 2 shows they played before the tour funding was pulled.
the booking agent decided against our advice to persue the three future tour dates on his own under the name of his fake entertainment company (as in, not legal) and agree we would not be responsible for these shows nor would we see the money. we agreed becuase ... they were going to be miserable turn outs becuase he did not provide adequate promotion.
long story ... short...
he is now refusing to return the 700.00 saying he did not sign ANYTHING stating he would return it. I sent the following email, Please help me i need advice! we have no problem compensating anyone for their counsel in this matter.
here is the email i sent- it is fairly straight forward, names of the accused are removed only becuase i dont know if that's wrong to post...
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ORIGINAL EMAIL TO booking agent:
"Agent-
what do you want to do about the 700$?
JAred"
REsPONSE FROM booking agent to SCHOOL NIGHT RECORDS (ME)
"Just out of curiosity do you have the agreement that I signed that I
said I was going to pay you back for that? Cause I don't have the one
that said that you weren't going to screw me over and pull out in the
middle of a tour and leave it up to me to flip the bill for a show and a
bands guarantee after your partner told me to sign for it?
So I really don't think that your 700 dollars needs to be paid back...
but thanks!"
RESPONSE FROM schoolnight records (me) to bookiing agent:
"June 13, 2005
booking agent,
I have a copy of a check made out to Jason Wheeler for $300.00 on April 26, 2005 for "Front (Insurance)" and a check made out to Jason Wheeler for $400.00 on April 7, 2005 for "Advance for Apr (Car payment)".
Besides the fact that you, myself and Herman all agreed before we fronted you the money that it was dependent on the success of the tour- Meaning: If the tour brought in funds in the amount ranging from $700 up to the cap which was $1,000, we wouldn't ask for the money back. You are making it seem like I am doing something unethical by asking for loaned money back.
As two thirds of this operation, we called calmly after 2/5ths of the shows bombed miserably and recommended that the tour be stopped before any more horrible things happened. Reluctant to "lose face" you continued and put on two (possibly the St. Augustine show as well, I don't know) shows and from what I've heard and suspected, they bombed.
Just as we told you the night of the Tallahassee show, we held up our end of the bargain- we gave you the money you needed and not only that but we gave you $700.00 dollars out of pocket just to pay your car insurance and payment on separate occasions. Instead of sitting there pretending that you are some sort of lawyer- asking me for paperwork, just bite the bullet and repay the money that is not rightfully yours.
Please stop claiming that you signed a contract obligating School Night Records to paying House of Fools any money. Their name was nowhere on the package deal that you signed- you admitted that to me many times. From what you told me, the contract was for Far-less and Classic Case. We Satisfied that contract by paying Far-less and not Classic Case (because they didn't play and dropped from the tour).
We did not "screw you over" any more than you screwed us over and, honestly, the dramatics are old... please let it go already. You owe School Night Records $700.00 which I empathized with you and lowered to $600 because I felt bad- but now you have proven to be not only arrogant, ungrateful and immature- but a deceptive and dishonest "businessman" to boot. Neither herman nor myself appreciates the way you are dealing with this $700 loan.
I see why it would be hard for a person in your position to pay back the money owed, as you feel wronged in the situation.
To answer your question "Just out of curiosity do you have the agreement that I signed that I said I was going to pay you back for that?"
You endorsed checks #0993 and #0995 and accepted the funds and conditions for the service or subject noted on the check itself under the "for" section.
You owe School Night Records, Inc. $700.00 and we are flexible as we are aware of your (or what was) your financial situation and are willing to work out some sort of payment thing.
Jared"
Thanks for your legal help guys!
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