Termination for convenience: how to avoid getting dropped mid-project
Termination for convenience means the client can end the contract without cause. That’s fine — if you’re protected: payment for work done, a kill fee, and IP assignment only after payment.
When to use
- Enterprise MSAs
- Long projects with risk of reprioritisation
Red flags
- Cancel anytime with no kill fee
- Client owns work before payment
Copy/paste clause lines
Plain text — edit for your jurisdiction
Either party may terminate for convenience with 7 days’ written notice. Client will pay for all work completed to date plus a kill fee of [10–30]% of remaining fees. IP assignment occurs on full payment.
Negotiation moves
- Swap ‘anytime’ for ‘with notice’
- Add a kill fee or deposit
FAQ
Termination for convenience · FAQ
Is termination for convenience a dealbreaker?
Not necessarily. It’s common in enterprise contracts. The question is whether you’re compensated if they use it.
Related
Other clauses
Further reading
Keep reading
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Editorial guidance only. This is not legal advice. Laws vary by jurisdiction and contract type. Use this as a starting point and consult a qualified lawyer for high-stakes agreements.