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Contract law advice - no cancellation clauses

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  • Contract law advice - no cancellation clauses

    My MD signed a digital services contract 1 month before I started, that included 9 cancellation clauses, but none in favour of the client (us) - they were all how the supplier can cancel. I want to cancel the contract.

    The contract related to some digital services that were vague and generic (IMO the presentation/pitch offered no detail as to what they would do). He still signed it and I accept that mistake. We are at month 1 of the contract.

    I want to cancel the contract as the supplier offers no real value now (I can do all of their work). I have allowed them to repitch a new set of services but these are still insufficient. I have offered them a 3 month payment for no services incurred, but they are refusing this and expecting the 12 month contract to be fulfilled.

    I have 2 questions:
    - A legal way to cancel the contract (distance selling and voting off don't apply)
    - Suggestions as to other tactics - how we negotiate, how I talk, how I make it difficult for them etc

    All help appreciated!
    Tags: None

  • #2
    Hi

    Assuming this is a B2B contract, then you are likely to be bound by the contract unless the contract terms allows you to exit early. You cannot simply get out of a contract just because your company has done a bad deal.

    You could refuse to pay but you run the risk of them terminating the contract for material breach and then claim compensation for the remaining twelve months plus any other losses incurred, suffered or lost out on because of your breach. That figure may be substantially more than the 12 months worth of payments you agreed to, so you should be careful.

    Next time your MD or whoever is in charge of the contract should actually read the terms and conditions and negotiate as appropriate to avoid this situation!
    If you have a question about the voluntary termination process, please read this guide first, as it should have all the answers you need. Please do not hijack another person's thread as I will not respond to you
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    Please be aware that this is a public forum and is therefore accessible to anyone. The content I post on this forum is not intended to be legal advice nor does it establish any client-lawyer type relationship between you and me. Therefore any use of my content is at your own risk and I cannot be held responsible in any way. It is always recommended that you seek independent legal advice.

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    • #3
      '...how I make it difficult for them...' could be waiting and watching until they breach the contract in some way. Which probably won't be the case, but you never know - maybe you can find ways to encourage this happening. I'd quieten down, let then run for a bit, and then be ready to jump on any potential breach of contract. With a bit of inventiveness you may be able to 'force' an error.

      Comment

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