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Contract dispute results in not 1, but 2 lawsuits

Georgia music fans may already know that any time an entertainer agrees to a live performance in a particular venue, a contract is ordinarily drawn up to solidify the date and time, place and compensation for the appearance. When one party breaches that contract for any reason, the resulting contract dispute may end up in court. For instance, a popular country music duo agreed to perform at an out-of-state festival for $450,000.

Reportedly, it is standard operating procedure for one-half of the fee to be paid upon the signing of the contract, and the other half is to be paid via cashier's check or certified check on the date of the performance. The duo received the first payment as agreed. However, when it came time to receive the other payment, plans changed.

When the duo Florida Georgia Line arrived at the Utah festival put together by Country Explosion LLC, they expected to be paid the remainder of their fee as agreed. However, Country Explosion LLC instead offered the band a check from a business account in the amount of $205,000 and $20,000 in cash. Since fans were already waiting for the concert to begin, it was agreed that they would accept payment as offered and go on stage, and a letter agreement was signed regarding the change in payment.

According to a lawsuit filed by Country Explosion, the duo sullied its reputation by telling other people that the company's check had bounced. The festival organizer claims that there was an oral agreement not to cash the check until a certain date, but the check was cashed early. According to a lawsuit filed by Florida Georgia Line, no written agreement was made regarding when to cash the check.

Most every Georgia business owner knows that, in a contract dispute, the written contract is the only one that matters. Oral agreements are generally not acknowledged by the court. If any additional agreements are discussed regarding a business arrangement, they need to be put in writing in order to be enforceable in court.

Source: tennessean.com, "Florida Georgia Line in pricey legal dispute", Cindy Watts, Aug. 7, 2014

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