Jock - you're right, I'm sure 60 people didn't see them in the bar, but it's the "they're just so-so" word of mouth the people who did see them might have put out.
Also, I'm wondering if our contracts should carry a clause about not performing "elsewhere," and what those perameters should be - not closer than a certain number of miles within so many hours or days ??
We have had this happen the other way, too. A fairly popular (and good) blues player on the Northwest circuit would play our venue, then go down for a late night set at this same bar.
I noticed one day that they had flyers up saying "Come hear (the blues player) after he appears at (our venue)" - I thought this was also stealing our thunder a bit.