Recent Answers to Standard Vendor Agreement Law Questions
Is a void contract enforceable in court?
Business Contracts
Standard Vendor Agreement
Massachusetts
We are a LLC Rug business. We were ask for a collaboration in exchange for a social media post. Our contract states that “If in 2 weeks you haven’t posted, then this contract is null and void and you would have to pay full price for the rugs”. Can we sue them if they don’t pay for the rugs if we mentioned that the contract is null and void?
Richard G.
What you have described appears to act as a liquidated damages clause. Typically liquidated damage clauses are unenforceable, or not enforced by courts in Massachusetts. However, there may be other methods that can be used to pursue this vendor. For example, a demand letter is one method of putting pressure on a vendor, and such a letter can be followed up with a suit if the matters in the letter are not addressed within 30 days.
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