Attrition and cancellationWhen reviewing the contract to block off a group of rooms at a hotel for a conference or event, meeting planners have undoubtedly encountered an attrition clause. The hotel room contract stipulates what to do in the event the group is not able to fill all the rooms they had asked the hotel to reserve. This part of the contract outlines room reduction dates and rates as well as hold the organization liable for a percentage of the room rate. Meeting planners are responsible for negotiating hotel room reduction dates as well as the terms for decreasing the number of group reservations in the event their conference doesn’t book to capacity; typically planners can adjust the number of rooms 60, 45, and 30 days before the event. In order for the hotel to guarantee a group a certain number of rooms, they must remove them from their
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Stacy Lucherini on Room Attrition
inventory for the requested dates. Should an organization be unable to fill the space as promised, they are still held liable and must pay a good portion of the listed rate—typically about 75%--though it should be noted that every hotel cancellation contract is different.