Legal Question in Business Law in California

Contract Notice of Termination

If a Term Contract has been entered in to and is going to expire on the date specified on the contract. This is a one year agreement,which is comming up for renewal, and I wish not to renew this agreement at the end of the term. My contracts have a 30 day written notice of cancellation required to cancel prior to the end of the agreement in the Terms and Conditions.

My question is, do I have to give the customer 30 day written notice if I don't want to renew the agreement at the end of the one year term?

Asked on 10/11/02, 2:07 pm

4 Answers from Attorneys

Edward Hoffman Law Offices of Edward A. Hoffman

Re: Contract Notice of Termination

If that is what your contract requires, then that is what you have to do.

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Answered on 10/11/02, 2:14 pm
Mitchell Roth MW Roth, Professional Law Corporation

Re: Contract Notice of Termination

I know you think you adequately described the question in your posting, but without reviewing the contract itself, one can not give you an opinion worth relying on. You should contact an attorney and make arrangements to fax or mail the contract in question for review. If you are in business, you should have an attorney relationship upon which you can rely for these types of routine matters.

If you are in the Los Angeles area and want to discuss further how we can be of assistance, call.

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Answered on 10/11/02, 2:17 pm
Bryan Whipple Bryan R. R. Whipple, Attorney at Law

Re: Contract Notice of Termination

As you have noticed, attorneys are reluctant to interpret contracts they haven't read. However, a general principle of contract law is that when a contract expires by its own terms, neither party has any further rights under the contract except as necessary to clean up transactions that have already taken place or are under way. For example, unpaid invoices are still payable.

An exception is that if the parties disregard the expiration and continue to do new business with one another, courts frequently will infer that the parties have agreed to extend the contract.

Therefore, although you are probably OK simply to discontinue doing business under the contract at the time it expires, it is always a good idea to give the other party some kind of notice, just to avoid misunderstandings or any possibility that an extension can be implied from the fact of continued dealings.

I join in the recommendation that you have a business attorney review and advise on your contracts and other business affairs.

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Answered on 10/11/02, 2:29 pm
Joel Selik

Re: Contract Notice of Termination

Does the contract have an automatic renewal provision. If not you probably do not have to give notice but the contract should be reviewed carefully to make certain there are not other requirements.

Joel Selik


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Answered on 10/11/02, 2:55 pm

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