Velo Birmingham Cancelled - NO REFUNDS!

[StickyPTFE]

I am very upset with the event team for not even attempting to offer a refund. No partial refund, no deferred places.

Some feeble excuse regarding insurance, utter tosh.

 

[PeteXXX]

You'd have to read their small print to see what excuse they're relying on to not refund monies.

 

[dickyknees]

From Velo Birmingham website
https://www.velobirmingham.com/wp-content/uploads/2020/01/VBM-2020-TCs.pdf

9. CANCELLATION, ALTERATION AND TIMINGS OF EVENT
9.1 The Participant acknowledges and accepts that circumstances concerning the Event may change from time to time for reasons outside of the Organiser’s reasonable control or otherwise, without the Organiser incurring any liability and without any rights to withdrawal being accrued by the Participant save as expressly set out in these terms and conditions.
9.2 The Organiser may cancel the Event because of circumstances beyond the reasonable control of the Organiserincluding,withoutlimitation, war,civilorpoliticalunrest,transportdisruptions,terrorism,including reasonable threat thereof, inclement weather conditions, death of a member of the royal family, and any legislation, regulations, ruling or omission of any relevant government, court, competent national authority or governing body, on advice of any security or police force and/or local authority consent or approval, or withdrawal of such consent or approval, (“Force Majeure”). In such circumstances, the Participant will not be entitled to any refund of the Entry Fee, processing/booking/administration fees and/or compensation of other losses, such as travelling or accommodation expenses.
9.3 The Organiser reserves the right to cancel the Event for any reason, but where such reason is not attributable to Force Majeure, the Participant will be entitled to a refund of their Entry Fee (excluding any processing/booking/administration fees).
9.4 In the event of cancellation of the Event or a Participant’s entry for any reason, the Organiser will have no responsibility for any losses, expenses or costs incurred as a result of cancellation including, without limitation, any travel or accommodation costs or any processing/booking/administration fees.

 

[StickyPTFE]

From Velo Birmingham website
https://www.velobirmingham.com/wp-content/uploads/2020/01/VBM-2020-TCs.pdf

9. CANCELLATION, ALTERATION AND TIMINGS OF EVENT
9.1 The Participant acknowledges and accepts that circumstances concerning the Event may change from time to time for reasons outside of the Organiser’s reasonable control or otherwise, without the Organiser incurring any liability and without any rights to withdrawal being accrued by the Participant save as expressly set out in these terms and conditions.
9.2 The Organiser may cancel the Event because of circumstances beyond the reasonable control of the Organiserincluding,withoutlimitation, war,civilorpoliticalunrest,transportdisruptions,terrorism,including reasonable threat thereof, inclement weather conditions, death of a member of the royal family, and any legislation, regulations, ruling or omission of any relevant government, court, competent national authority or governing body, on advice of any security or police force and/or local authority consent or approval, or withdrawal of such consent or approval, (“Force Majeure”). In such circumstances, the Participant will not be entitled to any refund of the Entry Fee, processing/booking/administration fees and/or compensation of other losses, such as travelling or accommodation expenses.
9.3 The Organiser reserves the right to cancel the Event for any reason, but where such reason is not attributable to Force Majeure, the Participant will be entitled to a refund of their Entry Fee (excluding any processing/booking/administration fees).
9.4 In the event of cancellation of the Event or a Participant’s entry for any reason, the Organiser will have no responsibility for any losses, expenses or costs incurred as a result of cancellation including, without limitation, any travel or accommodation costs or any processing/booking/administration fees.

I can understand they are covered legally, however, I am sure they still have a lot of money in the bank available to pay refunds, but simply do not wish too.

The event is in 3 months, not everything will be paid upfront. Especially when we are talking these sums of money and between these governing bodies.

£79 x 15,000 = £1,185,000. Almost all profit. Velobirmingham organisers have Covid-19 a lot to thank for.

 

[dickyknees]

As everybody else who will lose a lot more the entry fee I’m feel this company will be playing within the rules. But by not even offering a partial refund looks as if they are playing very sharp tactics. I’m sure they haven’t spent all my £79 fee. Velo Birmingham obviously planned to make a profit and now they stand to make a greater profit by delivering jack s**t.

I only hope the the cycling community will next year tell them to shove it and see how their business copes next year.

From this website
https://www.traverssmith.com/knowle...-the-fall-out-for-a-consumer-facing-business/
A force majeure clause is potentially unfair under the Consumer Rights Act 2015, given its effect on the liability of the party who is seeking to rely on it, and particularly if a trader obtains an unfair windfall or benefit from invoking the clause. Hanging on to all prepaid ticket money in circumstances where the event did not go ahead, is likely to be viewed as an unfair windfall or benefit; as a result it would normally be advisable for businesses relying on force majeure when cancelling an event, to be prepared to issue a full or partial refund to their customers.

 

[mjr]

Yes, I see this ending up in court as an unfair term.

 

[fossyant]

Really. Upset ? get a grip. Shoot is hitting the fan, and they've probably got a stack of stuff to pay out for.

 

[mjr]

Really. Upset ? get a grip. Shoot is hitting the fan, and they've probably got a stack of stuff to pay out for.

If so, they could explain, but I don't think the full cost of road closures will have been due and I bet they've not paid in full for food stop stocks and commemorative tat yet. They've shot themselves in the foot not offering partial refund.

 

[dickyknees]

I understand shoot hitting the fan scenario. I presume their business plan was to make a profit and have already had costs but now unless there are more transparent, are Velo Birmingham still making a profit for doing less?

 

[Milkfloat]

I too am upset at the organisers, not for cancelling that was an inevitability, but for the 100% loss of fees. There is no way that the event was planned to just break even and no way that they had paid out all their costs. I would have expected and been happy with at least a partial refund. I wonder if I can claim on my credit card?

 

[StickyPTFE]

Really. Upset ? get a grip. Shoot is hitting the fan, and they've probably got a stack of stuff to pay out for.

Like what? The event wasn't for 3 months. An event this scale would not have paid all monies upfront.

15,000 are out of pocket. I'd say upset is correct.

 

[Crankyguy]

I'm not sure they can claim Force Majeure on this. If not then section 9.3 of the t&c's says they have to give a refund. I appreciate they have costs already but fairness dictates they should offer a partial refund. The 2 Castles run has been cancelled and they are not obliged to offer any refund, but they said they will after their costs have been deducted. I can see the Velo position being challenged on this.

 

[dickyknees]

As far as my non legal head reads section 9.2 “ruling or omission of any relevant government, court, competent national authority or governing body, on advice of any security or police force and/or local authority consent or approval, or withdrawal of such consent or approval, (“Force Majeure”).” HM Gov have advised mass gatherings not to go ahead.
I could be wrong but as yet they haven’t banned. It is obviously very important to follow the official advice as people’s lives are at risk with this pandemic and this event without question should be cancelled.

The question is whether Velo Birmingham are making unfair windfall profits.
I’m sure someone of a legal disposition will be along soon to put me in the right direction.

 

[BrumJim]

@LibraRider : Change in plans then?

Birmingham Velo has been haemorrhaging cash for a number of years now. I guess their business model involves getting the ball rolling, and then future events making the money as they don't have the set-up and marketing costs of the first few years.

Going to be a tough year for cycling and cycling events, although I guess manufacturers of turbo trainers and people like Zwift will do well.

 

[derrick]

I am very upset with the event team for not even attempting to offer a refund. No partial refund, no deferred places.

Some feeble excuse regarding insurance, utter tosh.

Just blank them in the future, simple.