Do I owe money back to my friend?

[scout32]

Back in July last year my friend and I arranged a trip abroad together, she didn't pay me until January for her share and then decided she didn't want to go on the holiday in February, as we had a schedule change I was able to get her a full refund for her flights but as it was only 6 weeks until departure I had no chance to sort out any change in accommodation, she is now demanding her full money back and is threatening me with court I sent her 50% back by cheque as this is what we would have received had I cancelled the cottage but she refused to accept the letter, where do I stand on this? do I have to pay back all her money?

[Whickerman]

some friend...

You both entered into a contract to rent the cottage. From your post, would i be right in assuming you paid the full amount and she then paid you for her share? If so, she gets her share of the refund from the accomodation - ie none. Let her sue you.

[scout32]

I paid for the holiday in full on my credit card when we booked it in July, she is now threatening to take me to the small claims court and is quoting section 69 of the county court act where you can claim interest on the money you are believed to be owed. The unfortunate thing is I work with her and it is getting very awkward!

[happyjo]

She broke your verbal contract to go on holiday together. Therefore, she is in breach of conract. Contracts do not be have to be in writing, they can be verbal.

Tell your so called mate that if she wants to waste valuble time and money on a small claim, she will be sorry.

If you refuse to refund, and she does issue you with a summons, then you have a right to dispute this. In the mean time, make a documented statement of all the things that happened and when they happened.

If you are still worried, go and see your local CAB for some basic contract advice.

Jo