PR & Advertising agency - Failure to give contractual notice

The Client

A PR & advertising agency.

Value of Dispute

£20,000

The Commercial Dispute

A PR & Advertising agency operated under a fixed term contract for a large high street fashion retailer, providing ongoing services.

The retailer was subsequently absorbed into a larger group of companies which meant that it lost its autonomy. The new group company did not wish to continue with the PR agency’s services, however they failed to give 3 months’ contractual notice.

How Escalate Resolved – Services Used

Escalate contacted the Directors of the group company to make them aware of the actions of their subordinates, and the legal position surrounding the contractual notice period.

This resulted in a favourable response and a settlement was reached that allowed the retailer to properly extricate themselves from the contract. It also allowed for the agency to obtain a quick, reasonable payment, without damaging a potential future business relationship with the group company and its wider subsidiaries.