The Top Ten Things I Learned the Hard Way… to put in my

The Top Ten Things I Learned the Hard Way to put in my contracts Daphne J. Meyers, CMM Red Barn Group

Today’s Presenters Daphne J. Meyers, CMM – Managing Partner, Red Barn Group Strategic Event Consultant Adjunct Instructor, Minnesota State University - Moorhead – Recovering Corporate Planner (Microsoft) – Meeting Professionals International Minnesota Chapter – Current Director/Incoming Vice President of Leadership Development International – Content Advisory Council

Things I am NOT lawyers or paralegals an advocate of one-sided agreements proponents of “us v them” mentality interested in adversarial relationships

Today 10 things to include in your next contract Better understanding of business components of a hotel contact Contract language you can use in your next contract

What is a contract? An agreement between two or more competent parties in which an offer is made and accepted, and each party benefits. We need contracts to bind the other party to fulfill a promise, and what action can be taken if it is not. Like insurance – for good and BAD!

Contract Tip #1 Start at the beginning – the Request (RFP) – Info about group/meeting needs – Specifications – Concessions – comps, internet, newspapers – Contract requirements of organization Risk/crisis clauses Green clauses Special “corporate” stuff (competitors, legal stuff the lawyers say, construction, noise, attrition, special concessions)

Contract Tip #2 John’s Golden Rule of Agreements If you ask for something from the other side before the contract is signed it's called "Negotiating" If you ask the other side for something after the contract is signed it's called "Begging” John Foster, Esq., CHME Meetings Industry Attorney

Contract Tip #3 What is the value of this contract to EACH? Know your business and THEIR’s – Planner: What is at risk? What is expected return? Why is the meeting happening? – Supplier: What drives the business?

10 Things #10 Specific meeting room names with specific times Date Time Room Name Description December 31, 2008 12:01am – 11:59pm Super Duper Ballroom Set-up for Party January 1, 2009 12:01am – 12:00pm Super Duper Ballroom New Year’s Eve Party #10.1 #10.2 I like to remove any language about hotel reserves the right to re-assign rooms. Indicate that detailed specifications will follow from planner as to room set-ups, # of people, menus

10 Things #9 Specific Language for Sleeping Rooms Reservations Listing in Hotel’s Computer “Group Name” Type of rooms – suites, doubles, kings When rates apply/don’t apply/cut-off dates Always ask about honoring rates outside the dates! #9.1 Use specific dates on the calendar August 31, 2009 at 5:00pm CT vs. 30 days prior to meeting

10 Things #8 Areas of “sensitivities” Noise Construction Competitors VIP needs Data privacy Food donations ADA (accessibility) issues

10 Things #7 Additional charges/fees/taxes newspapers/safe/resort fees/pool/spa set-up fees taxes gratuities overtime/changes opening of outlets

10 Things #6 How to bill and get paid! master account needs treatment of comps/concessions timing of when bill reviewed, sent and to be paid to hotel

10 Things #5 Flexibility How can we make changes? What constitutes a spec change versus a contract change? Sliding scales

10 Things #4 What happens if we CANCEL cover both hotel and planner sliding scales based on timing damages clearly spelled out

10 Things #3 What happens if we CAN’T Force Majeure (improbable/inadvisable) re-booking/re-sale options CAUTION! We are at war!

10 Things #2 What happens if there is ATTRITION Show the “math” – Sleeping rooms – Meeting space – Food Beverage minimums Cumulative? Does it work out in each direction? Planner AND Hotel Amounts spelled out

10 Things #1 If we still can’t agree, how do we resolve it.

I am a Hotel Sales Manager

Thank you!!