With the federal government cutting meeting attendance, what
are the legal implications that associations may face?
Under sequestration and the current austere federal spending
environment, government agencies are significantly curtailing
federal employee attendance at conferences. What are the legal
implications? Associations should focus on three areas in
particular.
Existing Contracts
Association executives and their counsel should review existing
meeting contracts to determine potential attrition and cancellation
fees. Contracts often provide for termination without liability or
with only minimal costs if the event is cancelled within a certain
period before the event. If government budget cuts will drastically
reduce attendance, it may be less expensive for the association to
cancel the event and pay the cancellation fee than to hold the
meeting with significantly fewer attendees. Also, the
contract's force majeure provision may give an association
