Lessons from Covid-19 (Pt. 1)

Hello Dearest Readers,

I guess it’s in order to say; quite an age. We took a moment there, but we are back now and I want to believe, it’s back and better.
How are we faring? And how did we fare during the lockdown? What did we do to maintain our sanity? Did anyone here get any palliatives? Please let’s talk in the comment section.

These are indeed unusual times and no one, absolutely no one prepared for this, especially businesses.

 It is consequent upon this that we activate our ‘Lessons from Covid-19’ series, it will run under the Mini-Series platform.  The ‘Lessons from Covid-19’ series is a compilation of short fictitious stories to drive home the intent of the series, which is to seek legal counsel for every business transactions.

With the outbreak of Covid-19, a lot is happening in the Business World, obligations have become impossible to discharge, liabilities are emerging, Businesses are crumbling, Properties are being foreclosed. It’s a mess.

Some of these issues could have been avoided with a properly and carefully drafted Agreement or better still, with wise Counsel from a Legal Practitioner. This series will be well understood with examples and illustrations. Accordingly, I have sought and obtained the permission of some of our clients to use their names/business names in the course of these illustrations. Let’s go!

Simi is planning her wedding with a Guest List of 750 people, she has approached @prideandjewelevents to decorate the hall and cater for her guests, she has also engaged @mocenicakes to bake the Wedding Cake. Still in the course of preparing for her wedding, she booked a hotel and flight to the United Kingdom with @asatravels.

As a slay Queen that she is, she scheduled her make up session with @sesimakeover. Oh! I almost forgot, she also booked her Pre-Wedding Shots with @shotech and the wedding pictures and video coverage with @mayowaaboah photography.

Wedding was slated for the 28th day of March, 2020 in Lagos State of Nigeria. In a bid to curb the Covid 19 outbreak, the State Government banned all gathering of 50 people or more. She does not want to postpone the Wedding and has now decided to celebrate her Wedding with close family members and friends of not more than 20.

Prior to the Covid-19 outbreak, she had paid all the aforementioned vendors an advance fee of 60%.

a. What happens?
b. Can she get a Refund?
c. Do the Vendors have a right to withhold the advance fee paid?
d. Who bears the loss, where the Vendors have in turn purchased some items that will be used for the Event?

While Covid-19 was not envisaged by anyone, Lawyers have a foresight and anticipate varieties of situations, hence the slogan- your best ally in business is your Lawyer!

Just as I have always emphasized on this platform, Entrepreneurs, Vendors, Mumpreneurs, Studentpreneurs, Business Men and Women, please ensure that an Agreement is drafted for every transaction. While, it may seem practically impossible to ask all your Clients and/or potential Clients to sign an Agreement before baking a Cake, decorating a Hall, doing a Photo Session and the likes.

Are you aware that you can have a well drafted clause on your Receipt/E-Receipt which protects you and your Clients in case an unforeseen event such as the COVID-19 occurs.

So, imagine that all the Vendors in our Illustration had signed an Agreement or inserted a well drafted clause in the Receipt issued to Simi the Bride, parties’ respective obligations and rights would have been clearly stated while stipulating the approach to be adopted where the performance of the Contract becomes frustrated/impossible.

Another way to it, is to have a simple document that accompanies all issued Receipt.

Have you learnt your lessons? Kindly share your thoughts with me in the comment section.

Oluwatosin Ajose Popoola Esq.,
For: The Online Legal Clinic
08150949947

Would you want a Clause inserted in your E-Receipt/Receipt? Would you prefer that your Clients/Customers sign a simple Agreement…not too lawyerly? Send a WhatsApp message to 08150949947.