Wednesday, August 13, 2025

Your contracts are a culture test


Contracts are a culture test. This winery failed.

This summer, my daughter, a singer/songwriter, had a contract to perform four gigs at a local winery. She played the first three. Then, the winery's GM emailed her to say they were "going in a different direction" with their music and her "vibe no longer fit." He canceled her fourth gig.

Here's the problem: The contract (their contract; they proposed it and drafted it) only allowed them to cancel for "unforeseen circumstances." Changing the "vibe" plainly doesn't qualify. She politely pointed that out in an email response and asked when to expect payment. Crickets. For over a week.

Enter Dad, who (as you know) also happens to be a lawyer. One letter on firm letterhead later and I received a response within hours. She now has her check.

This story, however, isn't just about one unpaid gig. It's about how businesses treat the people they work with.

If you'll stiff a vendor, ignore a written contract, and only do the right thing when threatened with legal action, what does that say about how you treat your employees—especially the ones without contracts, power, or leverage?

A company's culture shows up in every interaction, whether it's with a musician playing for your guests, the receptionist answering your phones, or a server interacting with your patrons. If you want loyalty, trust, and goodwill, it starts with honoring your commitments, big and small.

Because in the end, how you treat your vendors says more about your business than your mission statement ever will. Contracts are culture tests. Pass them, and you build loyalty, goodwill, and a reputation worth talking about. Fail them, and you broadcast to the world—including and especially to your employees—that people need leverage to get fairness from you. That kind of culture costs way more than honoring your commitments in the first place.