Warning on contingency wraps

[Joe Santangelo]

Originally Posted by Robin Lawrence

So I posted about the size of the decal and the contract with NHRA. As someone mentioned it was good that NHRA was stepping up to make sure that the rules were followed.
As to payment, it is up to the individual companies to make the payouts per the postings. When a vendor signs up with NHRA they pay a fee to be a contingency partner. There are other benefits that NHRA provides in those programs as well.
An example would be midway display space as well as tickets to events based on their spend/program.

Several years ago there was a company that posted for several of their products. I was told that they never paid any contingency. Yet they signed up the following year. Since I wasn't directly involved, I won't name the company.

My opinion is that if companies don't pay their postings then NHRA needs to not allow them to post.

I think that this was addressed several years ago. I am sure that someone here knows the full story.

The contingency administrator from my previous employer processes the payments once she received the sheets from NHRA. Once she has all the information such as W9's she submits them to accounts payable to generate the payment. It goes into the payment cycle which can then get the racer paid.
If NHRA is late, or busy with many events, or if our lady missed the window for the next check run it can add time to the process.

Hats off to those companies that set aside a separate account and cut the checks shortly after an event.
If someone doesn't pay let NHRA know. They were very good about follow-up on racers who contacted them when they were not paid.

Robin

Hey Robin. As far as you know, are there any penalties for a company when they don’t pay a racers contingency claim after a racer has provided everything required to collect a claim, or several claims? I don’t believe there is but figured you would know better than me with your experience on the business side. If there were no repercussions for me if i decided not to pay my taxes or other bills, I wouldn’t pay them either.