How To Handle A Nonpayment?

Business By ReesesCupcakes Updated 17 Sep 2008 , 8:10pm by GenGen

ReesesCupcakes Posted 25 Aug 2008 , 8:59pm
post #1 of 25

Hi there. I was wondering how you all would handle this. My contracts state that a 50% deposit is due at time of booking to hold the date, etc. It also states that the remaining balance is due by 2 weeks prior to the wedding date.

I sent an email reminder to the bride/groom on Aug 5, 2008, detailing the order, location, and amount due (by Aug 23, 200icon_cool.gif. I didn't hear anything back until last monday (8/1icon_cool.gif. I spoke with the bride and cleared up the details and was informed that she would have the groom pay the remaining balance via paypal. August 23rd, came and went with no payment. I sent a reminder Aug 23rd evening, and still nothing...

So, my question is...what would you suggest I do.

I'm tempted to cancel the order since our contract has now been breeched......What do you all suggest.

24 replies
holoien003 Posted 25 Aug 2008 , 9:08pm
post #2 of 25

I'd call them and say that if you do not get the payment by (say give it one day) then their cake is cancelled and see what they do. Just make sure you are not setting a precedence. icon_smile.gif

babybundt Posted 25 Aug 2008 , 9:12pm
post #3 of 25

i have seen it time and again and not just in business. young people today seem to not know about being responsible. they signed a contract with you and did not keep to it. i would cancel. sometimes they need to learn a lesson and this would certainly be a learning experience for them. too many times parents or other well meaning people bail them out and they think this is how the world works. let this be a lesson learned........

tastyart Posted 25 Aug 2008 , 9:12pm
post #4 of 25

What day are you suposed to be making the cake for? It sounds like they are not very serious about the wedding. If you have a good relationship whith the bride you could contact her to make sure the groom didn't just screw up. You would, however, be within your rights to cancel it. JMO

mgdsue02 Posted 25 Aug 2008 , 9:12pm
post #5 of 25

I would do the same thing...give them one last date to receive payment by and if no payment tell them no cake. You have to put your foot down now.

loriemoms Posted 25 Aug 2008 , 9:15pm
post #6 of 25

You have a contract...I would call the bride and remind her of this fact and as stated, the payment is due on such and such a date, or the contract is breached. I am sure she told the groom, the groom forgot. Happens all the time.

EmilyGrace Posted 25 Aug 2008 , 9:17pm
post #7 of 25

Do you have a phone number? Sometimes emails don't get checked. I would call them and leave a message to the effect of "If I haven't received payment by 8:00pm (or whatever works for you) tomorrow I will have to cancel your order." And then go ahead and cancel if they haven't paid. I would at least give a days warning that you are going to cancel and give them a chance to make it right.

ccr03 Posted 25 Aug 2008 , 9:19pm
post #8 of 25

I'd have to agree with giving them one more time. I'm not in a position to 'teach anyone a lesson', but I in busy. I would call and email her (that way you talk with her and have written proof) and say that the deadline has past and per your contract will be cancelling the order unless you receive payment by such and such date (a date YOU feel comfortable with).

mcelromi1 Posted 25 Aug 2008 , 9:20pm
post #9 of 25

Kindly send them an email letting them know that scince payment was not recieved, their cake is no longer on your books.
And hopefully you have a non-payment/cancellation policy/clause to handle the portion they've already paid.
Either you'll have return the money (minus any fees if applicable), or most likly they will come up with the rest of the money and you can decide if you still want to deal with them or not.

AZCakeGirl Posted 25 Aug 2008 , 9:23pm
post #10 of 25
Quote:
Originally Posted by EmilyGrace

Do you have a phone number? Sometimes emails don't get checked. I would call them and leave a message to the effect of "If I haven't received payment by 8:00pm (or whatever works for you) tomorrow I will have to cancel your order." And then go ahead and cancel if they haven't paid. I would at least give a days warning that you are going to cancel and give them a chance to make it right.




I completely agree. Planning a wedding can get a little crazy....which doesn't give an excuse for non-payment, but to me it seems like we could at least give a little notice that we will be canceling the order. I say give her 24 hours notice & then cancel if you haven't got your money.

tenleysmommy Posted 25 Aug 2008 , 9:29pm
post #11 of 25

I would not make this cake,they may never pay you and you would be out all that money and have a wedding cake sitting around.jmpo

ReesesCupcakes Posted 25 Aug 2008 , 9:32pm
post #12 of 25

Thank you all for your quick responses.

The comment about young people just made me laugh....the bride/groom are about late 40's or so.....so they aren't that young anymore. The funny thing is, the groom is a lawyer.

I will take your suggestions to give them one final date for payment. I do have a cancellation clause in my contract to the effect of any cancellations with less than 2 weeks before the wedding result in no refund of any monies already paid to me.

Let's hope this kicks their butts into gear.

FromScratch Posted 25 Aug 2008 , 9:38pm
post #13 of 25

I would give them a phone call and tell them they have until 5:00pm the following day to get you the remaining balance or you will have to cancel their cake. If they don't pay, this is what I would do.. call them and let them know and send a certified letter stating that their cake was cancelled due to non-payment and that their deposit is non-refundable. What does it say in your contract about cancellations and their deposit?

julzs71 Posted 25 Aug 2008 , 10:15pm
post #14 of 25

I think you should put a clause in your contract that if you are late with payment there is a 50-100 fee. Maybe people will stop being late.

indydebi Posted 26 Aug 2008 , 12:02am
post #15 of 25

Mine states:

"Any payment not received as scheduled will constitute a cancellation on the part of the client and Cater It Simple will not show up at the event."

This clause is bolded and underlined in the contract.

I have sent emails (tho' not many) that say, "Due to lack of payment and no communication, this contract is considered canceled."

CakesByJen2 Posted 26 Aug 2008 , 1:06am
post #16 of 25

I would leave a message at every phone no. and e-mail that you have for them stating that they are X days overdue, and unless they get the final payment to you by whatever time the next day IN CASH, their order will be consider cancelled and the deposit forfeited according to the cancellation policy in their contract and there will be NO CAKE.

I've had to do this a few times, and when they hear "No Cake", they usually manage to get their act together and get the payment over right away. Some people just don't take deadlines and due dates seriously. I highlight my policy and make them initial it.

SweetConfectionsChef Posted 26 Aug 2008 , 2:37am
post #17 of 25

Why even bother with a contract if you aren't going to enforce it? icon_confused.gif

loriemoms Posted 26 Aug 2008 , 12:14pm
post #18 of 25
Quote:
Originally Posted by SweetConfectionsChef

Why even bother with a contract if you aren't going to enforce it? icon_confused.gif




I dont think we are suggesting she not enforce her contract...we are suggesting she contact the bride and let her know that she is being forced to enforce the contract, so please pay up. You never know why someone hasn't paid...especially a frazzled bride. I think the bride should get at least a phone call!

Muse Posted 26 Aug 2008 , 3:07pm
post #19 of 25

I agree. With all the planning of weddings, something is bound to be forgotten. Just a little heads-up will probably be sufficient to jog their memory.

SweetConfectionsChef Posted 26 Aug 2008 , 3:28pm
post #20 of 25
Quote:
Originally Posted by loriemoms

Quote:
Originally Posted by SweetConfectionsChef

Why even bother with a contract if you aren't going to enforce it? icon_confused.gif



I dont think we are suggesting she not enforce her contract...we are suggesting she contact the bride and let her know that she is being forced to enforce the contract, so please pay up. You never know why someone hasn't paid...especially a frazzled bride. I think the bride should get at least a phone call!




I call my brides (usually end up leaving a voicemail) 7 days prior to contract due dates and remind them. When the final day comes if they haven't paid...there is no cake and they lose all monies paid. I've had one bride in 4 years not pay up and she didn't get a cake. I'm running a business and a contract is to protect the customer to ensure they receive what they've ordered and to protect my business making sure all monies are paid ON TIME and the customer is being provided what they ordered.

katefrosting Posted 11 Sep 2008 , 7:04am
post #21 of 25

So? Whatever happened? Did they pay? Was there cake? Do tell!

Katie-Bug Posted 11 Sep 2008 , 4:54pm
post #22 of 25

Yeah, I am wondering what happened as well. icon_rolleyes.gif

lovinkakes Posted 14 Sep 2008 , 1:26pm
post #23 of 25

Yes, I'm curious, too! A girl just called me with her wedding in just a couple of weeks complaining that her "cake lady" just sent back her deposit, in effect cancelling her cake and could I make her cake. Um, I have a feeling she missed a payment. Two weeks before the date sounds a bit stressful! Mine is 3 weeks and I'm considering 1 month.

So what happened?!

sassycleo Posted 17 Sep 2008 , 7:57pm
post #24 of 25

Ladies,

In regards to those that call every phone number or email every email when it comes to late payments be very very very careful.

By federal collections laws, you as a business are only allowed to leave one message daily to the client. This does not allow you to call a home number leave a message then call their work or cell and leave a message and then email on top of that. They can come after you for harrassment.

The way to get around that is call one number, if no one answers hang up then try the next number hang up if no answer and then send the email. Or dial all numbers you have for the client and if none of them answer hang up and then call the most reliable number maybe their cell or home and leave the message.

I took a few collections classes on the instructor was very admit on this, if they report you to the authorities you can be dealt hefty fines.

I myself currently have a wedding Oct. 11. Contract states the deposit is non refundable. Final payment is due one month prior and lists 9/11 as the date. I have not yet received the payment. I spoke with the planner today about it to give her the heads up and she spoke with the bride. She wrote the checks and forgot to mail them out. Ok I can completely understand that, I've done it before with a bill and I wasn't planning a wedding...lol I set my due date a month prior to help avoid any of these "What should I do" issues. If I don't receive the check within the next two days (mail in state doesn't take but a day or so) they will be given two options a late fee because I will have rush charges to cover when getting supplies or they don't have a cake as they breached the contract. Plain and simple. I need to have the time to make sure the check clears and then purchase what I need for the cake.

GenGen Posted 17 Sep 2008 , 8:10pm
post #25 of 25
Quote:
Originally Posted by indydebi

Mine states:

"Any payment not received as scheduled will constitute a cancellation on the part of the client and Cater It Simple will not show up at the event."

This clause is bolded and underlined in the contract.

I have sent emails (tho' not many) that say, "Due to lack of payment and no communication, this contract is considered canceled."




very nice!

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