Moody, Salzman, Lash & Locigno, Attorneys & Counselors at Law
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Terminating a contract "for convenience"

Your company's business contracts offer a strong sense of security primarily for two reasons: first, they seemingly guarantee that you will have work to do while your contract is in place. The second reason is that should your contractual partner in Gainesville attempt to end your contract early, you may be able to sue for breach of contract. Most of the company representatives that come to see us here at Moody Salzman Lash Locigno Attorneys & Counselors at Law believing that an organization has to have cause for terminating a contract. Yet that may not be true in every case. 

Companies can indeed cite convenience when deciding to end a contractual agreement. Essentially, this means that they view it as no longer being convenient for them to do business with. Some common reasons cited for terminating a contract for convenience may include: 

  • A company deciding it no longer needs the products or services you offer
  • You being unwilling to renegotiate the terms of your current contract
  • A company deciding to produce the products or services you offer in-house
  • A general breakdown in your business relationship

According to the Congressional Research Service, the right to terminate contracts for convenience is automatically afforded to government agencies. Private companies must negotiate to have it included in their contracts. If a company does indeed rightly exercise its right to end your agreement for convenience, you can collect for whatever services your company has already performed (along with expenses associated with terminating your service. Damages for breach of contract would only be available if you show your partner negotiated in bad faith from the beginning of its negotiations with you. 

You can learn more about enforcing your contracts by continuing to explore our site. 

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Moody, Salzman, Lash & Locigno, Attorneys & Counselors at Law

Moody, Salzman, Lash & Locigno, Attorneys & Counselors at Law
2770 NW 43rd Street
Suite A
Gainesville, FL 32606-7419

Phone: 352-559-8019
Fax: 352-377-2861
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