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Cancellation clause: Copy, customize, and use instantly

Introduction

A cancellation clause outlines the conditions under which a party may terminate or cancel the agreement before its completion. This clause provides clarity on when and how cancellation is permissible, including any penalties or requirements that must be fulfilled. It's essential for minimizing risks and offering flexibility if the circumstances change.

Below are templates for cancellation clauses tailored to different scenarios. Copy, customize, and insert them into your agreement.

General cancellation clause

This is a standard cancellation clause for general use.

Either party may cancel this Agreement by providing written notice to the other party at least [X] days before the intended cancellation date. Upon cancellation, both parties agree to settle any outstanding obligations, including any fees or payments due up to the cancellation date.

Cancellation clause with termination for convenience

This clause allows termination for convenience.

Either party may terminate this Agreement for any reason by providing [X] days written notice to the other party. No penalty shall apply, but both parties agree to pay for any services rendered or obligations fulfilled up to the termination date.

Cancellation clause with cancellation due to breach

This clause allows cancellation in case of breach.

If either party materially breaches any term or condition of this Agreement, the other party may cancel the Agreement by providing [X] days written notice. Cancellation is effective immediately upon the expiration of the notice period, and the breaching party will be liable for any damages resulting from the breach.

Cancellation clause with provision for early termination fee

This clause includes an early termination fee.

If either party wishes to cancel this Agreement prior to the expiration date, the cancelling party agrees to pay an early termination fee of [specified amount] to the other party. The fee will cover any administrative or operational costs incurred due to the cancellation.

Cancellation clause with right to cancel for non-payment

This clause allows cancellation for non-payment.

If the [Party] fails to make payments as outlined in this Agreement, the other party has the right to cancel the Agreement by providing written notice after [X] days of non-payment. The cancelling party is entitled to recover any unpaid amounts up to the cancellation date.

Cancellation clause with cancellation based on performance failure

This clause allows for cancellation due to performance failure.

If the [Party] fails to meet the agreed performance standards outlined in this Agreement, the other party may cancel the Agreement with [X] days written notice. Any outstanding obligations must be fulfilled before cancellation is effective.

Cancellation clause with right to cancel due to force majeure

This clause provides cancellation rights due to force majeure.

In the event of a force majeure event, either party may cancel this Agreement with [X] days written notice. A force majeure event includes, but is not limited to, natural disasters, war, or government restrictions that prevent either party from fulfilling their obligations.

Cancellation clause with option for mutual cancellation

This clause allows mutual cancellation.

Both parties may mutually agree to cancel this Agreement by providing written notice. Upon mutual cancellation, both parties agree to waive any claims against each other arising out of the Agreement and will settle any pending obligations before the cancellation date.

Cancellation clause with immediate cancellation upon insolvency

This clause allows for immediate cancellation in case of insolvency.

If either party becomes insolvent or files for bankruptcy, the other party may cancel this Agreement immediately without notice. The non-insolvent party may also seek any remedies available under law for any damages caused by the insolvency.

Cancellation clause with cancellation for convenience with notice period

This clause allows cancellation for convenience with a notice period.

Either party may cancel this Agreement at any time for any reason by providing [X] days written notice to the other party. Cancellation will take effect at the end of the notice period, and any unpaid amounts must be settled by the cancellation date.

Cancellation clause with provision for cancellation upon regulatory change

This clause allows cancellation due to changes in regulations.

If any change in applicable laws or regulations renders this Agreement impossible or illegal to perform, either party may cancel the Agreement by providing [X] days written notice. Both parties agree to cooperate to address the effects of such a change.

Cancellation clause with cancellation rights for ongoing non-performance

This clause allows cancellation for continued non-performance.

If the [Party] fails to perform any material obligations under this Agreement for a period of [X] days, the other party may cancel the Agreement by providing written notice. Cancellation will be effective immediately upon notice, and the defaulting party will be liable for any damages incurred.

Cancellation clause with cancellation for failure to deliver goods/services

This clause allows cancellation for failure to deliver goods/services.

If the [Party] fails to deliver the agreed goods or services within the timeline specified in this Agreement, the non-breaching party may cancel the Agreement by providing [X] days written notice. The cancelling party is entitled to recover any costs or losses incurred due to the failure to deliver.

Cancellation clause with provision for partial cancellation

This clause allows for partial cancellation.

In the event that either party fails to perform certain aspects of the Agreement, the other party may cancel only the specific provisions or sections of the Agreement that are impacted by the breach. The rest of the Agreement will remain in full force and effect.

Cancellation clause with waiver of cancellation rights

This clause waives the right to cancel.

Both parties agree that they will not exercise the right to cancel this Agreement except under the circumstances specified in this clause. Any waiver of cancellation rights must be made in writing and signed by both parties.

Cancellation clause with provision for no refund upon cancellation

This clause excludes refunds upon cancellation.

Upon cancellation of this Agreement by either party, no refund will be provided for any fees or payments made prior to the cancellation date, unless otherwise agreed in writing. Any outstanding balances must be settled as of the cancellation date.

Cancellation clause with extension of obligations post-cancellation

This clause extends certain obligations post-cancellation.

Even after cancellation of this Agreement, the parties agree that certain obligations, such as confidentiality and dispute resolution, will continue to apply. These obligations remain in effect for [X] years following the cancellation date.

Cancellation clause with dispute resolution prior to cancellation

This clause requires dispute resolution before cancellation.

Before either party may cancel this Agreement due to a breach, both parties agree to engage in a dispute resolution process, including mediation or arbitration, to attempt to resolve the issue. Cancellation may only occur if the dispute is not resolved within [X] days.

Cancellation clause with cancellation for changes to ownership or control

This clause allows cancellation for changes in ownership or control.

If either party undergoes a change in ownership or control, the other party has the right to cancel this Agreement with [X] days written notice. This includes mergers, acquisitions, or other significant changes to the party’s structure.

Cancellation clause with provision for notice of intent to cancel

This clause requires notice of intent to cancel.

The [Party] agrees to notify the other party in writing at least [X] days prior to the intended cancellation date. During this notice period, both parties will work to resolve any issues or disputes to avoid cancellation if possible.

Cancellation clause with suspension of performance pending resolution

This clause allows suspension of performance pending resolution.

If a dispute arises, the non-breaching party may suspend performance of its obligations under this Agreement until the issue is resolved or the Agreement is cancelled. Suspension of performance does not constitute a waiver of the right to cancel the Agreement.

Cancellation clause with refund upon cancellation under specific circumstances

This clause includes a refund provision for certain cancellations.

If the [Party] cancels this Agreement due to the other party’s breach, the non-breaching party is entitled to a refund of any fees paid in advance. The refund will be calculated based on the portion of the services or goods that were not yet provided.

Cancellation clause with provision for notice of cancellation due to public health emergencies

This clause allows for cancellation due to public health emergencies.

If a public health emergency or other similar situation arises, either party may cancel this Agreement by providing [X] days written notice. This provision applies only if the emergency prevents the performance of obligations under the Agreement.

Cancellation clause with provision for negotiation upon cancellation request

This clause requires negotiation before cancellation.

Before either party may cancel this Agreement, the parties agree to negotiate in good faith to reach a mutually agreeable solution. Cancellation may only proceed if both parties fail to reach an agreement after [X] days of negotiation.

Cancellation clause with right to cancel upon delivery of non-conforming goods

This clause allows cancellation for non-conforming goods.

If the [Party] delivers goods that do not conform to the specifications outlined in this Agreement, the receiving party may cancel the Agreement by providing written notice within [X] days of delivery. Any costs associated with returning or replacing the goods will be borne by the defaulting party.

Cancellation clause with provision for cancellation in case of regulatory non-compliance

This clause provides for cancellation due to regulatory non-compliance.

If either party fails to comply with applicable laws or regulatory requirements that are material to the Agreement, the other party has the right to cancel the Agreement immediately by providing written notice.

Cancellation clause with provision for compensation for early termination

This clause provides for compensation upon early termination.

If the Agreement is cancelled by either party before the expiration date, the cancelling party agrees to compensate the other party for any reasonable expenses incurred as a result of early termination, including but not limited to administrative costs and performance-related investments.

Cancellation clause with right to cancel upon material change in circumstances

This clause allows cancellation due to material changes.

Either party may cancel this Agreement if a material change in circumstances arises that substantially impacts the ability of either party to perform its obligations. Such a change includes, but is not limited to, financial instability, legal restrictions, or unforeseen market conditions.

Cancellation clause with provision for cancellation due to change in key personnel

This clause allows for cancellation due to personnel changes.

If a change in key personnel occurs, such as the resignation or replacement of a primary decision-maker or manager, either party may cancel the Agreement with [X] days’ written notice, provided that the change materially affects the Agreement’s performance.

Cancellation clause with obligation to provide a transition plan upon cancellation

This clause includes a transition plan requirement.

Upon cancellation of this Agreement, the party initiating the cancellation agrees to provide a transition plan to facilitate the orderly wind-down of services, the transfer of knowledge, or any unfinished obligations, to minimize disruption to the other party.

Cancellation clause with provision for partial cancellation of services

This clause allows partial cancellation.

Either party may cancel specific services or deliverables outlined in the Agreement, without affecting the overall contract. The cancelling party must provide [X] days' written notice, and any work already completed will be compensated at the agreed-upon rate.

Cancellation clause with provision for cancellation due to loss of supplier

This clause allows cancellation due to loss of a supplier.

If either party loses a critical supplier or service provider necessary for fulfilling their obligations under this Agreement, they may cancel the Agreement by providing written notice. The cancelling party must provide evidence of the supplier loss.

Cancellation clause with provision for cancellation for business discontinuity

This clause provides cancellation in case of business discontinuity.

If either party undergoes a business discontinuity event, such as ceasing operations or transferring business ownership, the other party may cancel this Agreement by providing written notice. This clause applies regardless of any ongoing obligations.

Cancellation clause with payment for work completed up to cancellation

This clause ensures payment for completed work.

If this Agreement is cancelled, the [Party] agrees to compensate the other party for all work completed up until the cancellation date. Payment will be made for all services or goods delivered, prorated for partial fulfillment, and as agreed in the Agreement.

This clause allows cancellation only with mutual consent.

Neither party may cancel this Agreement without the written consent of the other party. Both parties must mutually agree on the terms of cancellation, including compensation for work performed and any penalties related to early termination.

Cancellation clause with provision for cancellation in case of non-compliance with safety regulations

This clause provides cancellation rights for safety non-compliance.

If either party fails to comply with any applicable safety regulations or standards, the other party may cancel this Agreement immediately, without prior notice. The party in violation is liable for any costs incurred by the cancellation.

Cancellation clause with provision for canceling due to external legal changes

This clause allows cancellation due to external legal changes.

Either party may cancel this Agreement with [X] days written notice if a new law, regulation, or government policy renders the Agreement or any of its provisions non-compliant or impossible to perform.

Cancellation clause with provision for immediate cancellation upon intellectual property dispute

This clause allows for immediate cancellation due to intellectual property disputes.

In the event of a dispute over intellectual property rights related to this Agreement, either party may immediately cancel the Agreement by providing written notice. Cancellation will not affect any existing intellectual property rights or obligations.

Cancellation clause with provision for cancellation due to health and safety concerns

This clause allows cancellation for health and safety concerns.

If health and safety concerns arise that prevent the [Party] from performing their obligations under the Agreement, either party may cancel the Agreement with immediate effect. This includes situations where performance could cause harm to individuals, property, or the environment.

Cancellation clause with provision for automatic cancellation upon non-renewal

This clause automatically cancels the Agreement upon non-renewal.

The Agreement will automatically terminate at the end of the term unless renewed by mutual agreement. If either party chooses not to renew the Agreement, the Agreement will be deemed canceled, and no further obligations will remain.

Cancellation clause with right to cancel for inadequate performance

This clause allows cancellation due to inadequate performance.

If either party fails to meet performance expectations or contractual benchmarks, the other party may cancel this Agreement after providing [X] days’ notice. The party in default will be liable for any costs or damages incurred by the non-breaching party.

Cancellation clause with provision for canceling in case of product defects

This clause allows cancellation due to product defects.

If the [Party] delivers goods or products that are found to be defective or fail to meet the specifications outlined in this Agreement, the non-breaching party may cancel the Agreement by providing [X] days written notice. Affected products will be returned at the breaching party’s expense.

Cancellation clause with right to cancel after project milestones are missed

This clause provides cancellation rights if milestones are missed.

If the [Party] fails to meet agreed-upon milestones as outlined in this Agreement, the other party has the right to cancel the Agreement by providing written notice after [X] days of missed milestones, unless the breach is remedied within the notice period.

Cancellation clause with provision for cancellation due to force majeure impacting performance

This clause allows for cancellation due to force majeure.

If a force majeure event occurs, including but not limited to natural disasters, strikes, or government actions, and the event prevents either party from fulfilling its obligations under this Agreement for more than [X] days, either party may cancel the Agreement with written notice.

Cancellation clause with restriction on cancellation rights after a certain period

This clause limits cancellation rights after a specific period.

Neither party may cancel this Agreement after [X] months of performance unless a material breach occurs or the other party fails to meet its obligations. After this period, cancellation may only occur with mutual consent or under exceptional circumstances.

Cancellation clause with provision for prorated cancellation fees

This clause includes prorated cancellation fees.

If this Agreement is cancelled by either party before completion, the cancelling party agrees to pay prorated fees based on the amount of work completed up until the cancellation date. These fees will be calculated according to the rates specified in the Agreement.

Cancellation clause with requirement for notice of cancellation due to change in market conditions

This clause provides cancellation rights due to market changes.

Either party may cancel this Agreement if there is a significant change in market conditions that makes performance under the Agreement economically unfeasible. The cancelling party must provide written notice of cancellation within [X] days of identifying the change in market conditions.

Cancellation clause with provision for early termination upon failure to obtain necessary approvals

This clause allows early termination if necessary approvals are not obtained.

If either party fails to obtain the necessary regulatory approvals or permits required to perform their obligations under this Agreement, the other party has the right to cancel the Agreement with [X] days’ written notice.

Cancellation clause with provision for cancellation for data breach

This clause allows cancellation due to a data breach.

If a data breach occurs and one party fails to rectify the breach within [X] days of receiving notice, the other party may cancel the Agreement immediately. The defaulting party is responsible for all costs and legal consequences arising from the data breach.

Cancellation clause with provision for termination due to reputational damage

This clause allows cancellation due to reputational damage.

Either party may cancel this Agreement immediately if the other party’s actions result in significant reputational damage, public scandal, or loss of trust, which negatively affects the performance or purpose of the Agreement.

Cancellation clause with provision for cancellation upon failure to obtain financing

This clause allows cancellation for financing issues.

If the [Party] fails to secure necessary financing or funding to meet their obligations under this Agreement, they may cancel the Agreement with [X] days written notice. Any costs incurred due to the financing issue must be settled upon cancellation.

Cancellation clause with provision for cancellation upon change of business ownership

This clause allows cancellation upon change of ownership.

If there is a change of ownership or control of either party during the term of this Agreement, the other party has the right to cancel the Agreement with [X] days written notice.

Cancellation clause with provision for immediate cancellation due to fraud

This clause allows for immediate cancellation in case of fraud.

If any party is found to have committed fraud or misrepresentation under this Agreement, the other party may immediately cancel the Agreement without further notice. The defaulting party is liable for any damages or losses caused by their fraudulent actions.

Cancellation clause with provision for cancellation due to insolvency

This clause allows for cancellation in case of insolvency.

In the event that either party becomes insolvent, bankrupt, or enters into liquidation proceedings, the other party may immediately cancel the Agreement with written notice. All obligations up to the date of cancellation must be settled by the defaulting party.

Cancellation clause with cancellation rights upon breach of confidentiality

This clause provides for cancellation if confidentiality is breached.

If either party breaches the confidentiality provisions of this Agreement, the non-breaching party has the right to cancel the Agreement immediately upon notice. The breaching party will remain liable for any damages arising from the breach of confidentiality.

Cancellation clause with notice requirement upon regulatory change

This clause allows cancellation due to regulatory changes.

Either party may cancel this Agreement by providing [X] days written notice if a change in applicable laws or regulations makes the continued performance of the Agreement illegal or impossible. The cancellation is effective upon receipt of the notice.

Cancellation clause with provision for cancellation due to non-compliance with standards

This clause allows cancellation if performance standards are not met.

If either party fails to comply with the agreed-upon performance standards or deliverables set forth in this Agreement, the other party may cancel the Agreement upon written notice after [X] days of non-compliance, without further obligation or liability.

Cancellation clause with cancellation due to failure to provide necessary documents

This clause allows cancellation if necessary documents are not provided.

If a party fails to provide necessary documents or approvals required for performance under this Agreement, the other party may cancel the Agreement with [X] days written notice. The cancelling party is entitled to recover any costs incurred due to the failure to provide the documents.

Cancellation clause with provision for mutual cancellation with refund

This clause provides mutual cancellation with a refund.

Both parties may mutually agree to cancel this Agreement by providing written notice. Upon mutual cancellation, the cancelling party will be entitled to a refund of any payments made for undelivered goods or services, minus any expenses incurred up to the cancellation date.

Cancellation clause with immediate cancellation for health and safety violations

This clause allows immediate cancellation for health and safety issues.

If either party violates any health and safety regulations applicable to the performance of this Agreement, the non-violating party may immediately cancel the Agreement by providing written notice. This cancellation is effective immediately, and the violator is responsible for any resulting damages or costs.

Cancellation clause with provision for cancellation due to market conditions

This clause allows cancellation due to market changes.

Either party may cancel this Agreement if there is a significant change in market conditions that makes performance unfeasible or commercially impractical. The cancelling party must provide written notice within [X] days of the change in market conditions.

This clause allows cancellation if related agreements are terminated.

If any other agreements related to this Agreement are terminated or are no longer enforceable, either party may cancel this Agreement with [X] days written notice. The cancellation is effective upon notice and will not affect any existing liabilities under the Agreement.

Cancellation clause with right to cancel in case of prolonged force majeure

This clause provides for cancellation in case of a prolonged force majeure event.

If a force majeure event persists for more than [X] days, either party may cancel this Agreement by providing written notice. The cancellation will be effective as of the notice date, and neither party will be liable for performance failures caused by the force majeure event.

Cancellation clause with provision for automatic cancellation after breach notice

This clause allows automatic cancellation after a breach notice.

If either party fails to remedy a breach after receiving [X] days’ written notice, the Agreement will be automatically canceled without further action from the non-breaching party. All pending obligations must be fulfilled by the defaulting party up until the cancellation date.

Cancellation clause with cancellation upon changes to key deliverables

This clause allows cancellation due to changes in deliverables.

If there are any substantial changes to the key deliverables specified in this Agreement, either party may cancel the Agreement by providing written notice. Any payments made prior to cancellation will be refunded for undelivered items.

Cancellation clause with provision for cancellation due to inability to obtain insurance

This clause allows cancellation if insurance cannot be obtained.

If either party fails to obtain or maintain the required insurance coverage necessary for the performance of this Agreement, the other party may cancel the Agreement by providing [X] days written notice. The cancellation will be effective immediately upon notice.

Cancellation clause with provision for cancellation due to inadequate security measures

This clause allows cancellation if security measures are inadequate.

If either party fails to implement adequate security measures required under this Agreement, the other party has the right to cancel the Agreement with [X] days written notice. The cancellation will be effective immediately, and the non-compliant party will bear responsibility for any losses incurred.

Cancellation clause with option to cancel for strategic business reasons

This clause allows cancellation for strategic reasons.

Either party may cancel this Agreement for any strategic business reasons by providing [X] days written notice. The cancelling party must settle any outstanding obligations, including payments for services rendered up to the cancellation date.

Cancellation clause with right to cancel if key personnel are unavailable

This clause allows cancellation if key personnel are unavailable.

If any key personnel, as identified in this Agreement, becomes unavailable or is replaced without mutual agreement, the other party may cancel the Agreement with [X] days written notice. The party affected by the personnel change is liable for any costs incurred.

Cancellation clause with provision for cancellation if one party fails to meet deadlines

This clause allows cancellation if deadlines are missed.

If either party fails to meet a significant deadline as set forth in this Agreement, the other party may cancel the Agreement by providing [X] days written notice. The cancellation is effective immediately after the notice period.

Cancellation clause with provision for cancellation after an unresolved dispute

This clause allows cancellation after an unresolved dispute.

If a dispute arises and remains unresolved after [X] days of notice, either party may cancel this Agreement by providing written notice. The dispute must be addressed through mediation or arbitration before cancellation can proceed.

Cancellation clause with right to cancel for unsatisfactory performance reviews

This clause allows cancellation due to unsatisfactory performance.

If a performance review indicates that one party is not meeting the terms and conditions of this Agreement, the other party may cancel the Agreement with [X] days written notice. Any obligations that have been met up to the cancellation date will be compensated accordingly.

Cancellation clause with provision for termination based on government actions

This clause allows termination based on government actions.

If any government action or regulation prohibits the continuation of this Agreement, either party may terminate the Agreement by providing [X] days written notice. The cancellation will take effect immediately, and both parties will settle any accrued obligations.

Cancellation clause with provision for cancellation due to external financial impact

This clause provides cancellation due to external financial issues.

If either party experiences significant financial distress or a drastic reduction in funding that impacts the ability to perform under this Agreement, they may cancel the Agreement with [X] days written notice. The other party will be entitled to recover any unpaid amounts for completed work.

Cancellation clause with provision for cancellation due to relocation

This clause allows cancellation if relocation occurs.

If either party relocates its business or operations to a jurisdiction that affects the performance of this Agreement, the other party may cancel the Agreement with [X] days written notice. Any costs incurred due to the relocation will be borne by the relocating party.

Cancellation clause with provision for cancellation due to market entry by competitor

This clause allows cancellation due to competitive market entry.

If a competitor enters the market and significantly impacts the ability of either party to fulfill its obligations under this Agreement, the affected party may cancel the Agreement by providing [X] days written notice. The cancellation will take effect immediately.

Cancellation clause with provision for cancellation due to changes in the financial status of a party

This clause allows cancellation due to changes in financial status.

If there are any material changes to the financial status of either party that affect its ability to fulfill its obligations under this Agreement, the other party may cancel the Agreement by providing written notice. The cancellation will be effective immediately upon notice.

Cancellation clause with provision for cancellation in case of unapproved subcontracting

This clause allows cancellation if subcontracting is unapproved.

If a party engages subcontractors or assigns its obligations under this Agreement without prior approval from the other party, the Agreement may be canceled by the non-breaching party with [X] days written notice.

Cancellation clause with provision for cancellation due to change in business model

This clause allows cancellation if a business changes its model.

If either party changes its business model in such a way that the continuation of this Agreement becomes unfeasible or incompatible with the new model, the other party may cancel the Agreement by providing [X] days written notice. Any outstanding obligations must be settled upon cancellation.

Cancellation clause with provision for cancellation after a specific notice period

This clause provides a cancellation notice period.

Either party may cancel this Agreement by providing [X] days written notice to the other party. The cancellation will take effect at the end of the notice period, and both parties will settle any outstanding obligations by that time.

Cancellation clause with option to cancel in case of delay in delivery

This clause allows cancellation due to delayed delivery.

If the [Party] fails to deliver the goods or services outlined in this Agreement within [X] days of the agreed delivery date, the other party may cancel the Agreement by providing written notice. Cancellation will be effective immediately upon notice.

Cancellation clause with provision for cancellation upon termination of a key contract

This clause allows cancellation upon termination of a key contract.

If a key contract or agreement that is integral to this Agreement is terminated by either party, the other party may cancel this Agreement by providing [X] days written notice. The cancellation will take effect immediately, and all liabilities up to the cancellation date must be settled.

Cancellation clause with right to cancel due to regulatory non-compliance

This clause provides for cancellation due to regulatory issues.

If either party fails to comply with applicable regulations or government orders that affect the performance of this Agreement, the other party has the right to cancel the Agreement by providing written notice. The cancellation will be effective immediately, and the defaulting party is responsible for any regulatory fines or penalties.

Cancellation clause with cancellation rights in the event of underperformance

This clause provides for cancellation due to underperformance.

If either party’s performance falls below the agreed-upon standards or metrics specified in this Agreement, the non-performing party may cancel the Agreement by providing written notice within [X] days. All outstanding obligations must be completed or paid for prior to cancellation.

Cancellation clause with cancellation upon force majeure event exceeding a certain time period

This clause allows cancellation due to prolonged force majeure events.

If a force majeure event prevents either party from performing their obligations for more than [X] days, the other party may cancel this Agreement by providing written notice. The cancellation is effective immediately after the notice period.

This clause allows early cancellation with mutual consent.

Either party may cancel this Agreement early by mutual written consent. The parties will agree on the terms of cancellation, including any outstanding payments, and any cancellation fees that may apply.

Cancellation clause with provision for cancellation after breach of confidentiality

This clause allows cancellation for breach of confidentiality.

If either party breaches the confidentiality provisions of this Agreement, the other party may immediately cancel the Agreement. The party in breach will remain liable for any damages resulting from the disclosure of confidential information.

Cancellation clause with option for cancellation due to government restrictions

This clause allows for cancellation due to government restrictions.

If a government restriction or order prohibits the performance of this Agreement, either party may cancel the Agreement by providing [X] days written notice. Cancellation will take effect immediately upon notice, and neither party will be liable for performance failure due to government action.

Cancellation clause with provision for cancellation for business disruption

This clause allows cancellation due to business disruption.

If a significant disruption to business operations occurs, such as a natural disaster, economic crisis, or supply chain failure, either party may cancel the Agreement by providing [X] days written notice. Both parties agree to settle any outstanding obligations before the cancellation date.

Cancellation clause with provision for cancellation upon non-delivery of required resources

This clause allows cancellation if required resources are not delivered.

If one party fails to deliver the resources, tools, or personnel required for performance under this Agreement, the other party may cancel the Agreement by providing written notice. The cancellation will be effective immediately, and any outstanding obligations must be fulfilled prior to cancellation.

Cancellation clause with right to cancel upon substantial changes in project scope

This clause allows cancellation due to changes in scope.

If the scope of the project changes significantly from the original Agreement, either party may cancel the Agreement by providing written notice. The cancellation is effective immediately, and both parties will agree on the final settlement of obligations.

This clause allows cancellation upon termination of related agreements.

If any related agreement or contract necessary for the performance of this Agreement is terminated, the non-terminating party may cancel this Agreement by providing [X] days written notice. Cancellation will take effect immediately, and both parties will settle any outstanding obligations.

Cancellation clause with provision for unilateral cancellation for any reason

This clause allows unilateral cancellation for any reason.

Either party may cancel this Agreement at any time for any reason by providing [X] days written notice to the other party. The cancellation will be effective at the end of the notice period, and all outstanding fees or obligations must be paid or completed.

Cancellation clause with provision for cancellation due to delays in regulatory approval

This clause allows cancellation if regulatory approval is delayed.

If either party is unable to obtain the necessary regulatory approvals or permits within [X] days of signing this Agreement, either party may cancel the Agreement by providing written notice. Any costs incurred before cancellation must be settled.

Cancellation clause with provision for cancellation for breach of warranty

This clause allows cancellation for breach of warranty.

If a party breaches any warranty or guarantee under this Agreement, the non-breaching party may cancel the Agreement by providing written notice. The party in breach will be liable for any damages resulting from the breach.

Cancellation clause with provision for cancellation due to termination of funding or investment

This clause allows cancellation due to funding termination.

If either party loses or has their funding or investment sources terminated, the other party may cancel the Agreement by providing written notice. The cancellation will be effective immediately, and any unpaid amounts for services rendered will be settled.

Cancellation clause with provision for automatic cancellation upon expiration of a specified term

This clause allows automatic cancellation upon expiration.

This Agreement will automatically cancel at the end of the specified term, unless both parties agree to renew the Agreement in writing. No further notice is required, and any outstanding obligations will be settled upon cancellation.

Cancellation clause with right to cancel after failure to meet deliverables

This clause allows cancellation if deliverables are not met.

If the [Party] fails to meet any agreed-upon deliverables or milestones, the other party has the right to cancel the Agreement with written notice. The cancellation will be effective immediately, and any work completed up until that point must be compensated.

Cancellation clause with provision for cancellation based on inability to meet financial obligations

This clause allows cancellation for financial issues.

If a party becomes unable to meet its financial obligations under this Agreement, the other party may cancel the Agreement by providing written notice. Any outstanding obligations must be settled by the defaulting party prior to cancellation.

Cancellation clause with provision for cancellation due to change in operational capacity

This clause allows cancellation if operational capacity changes.

If either party experiences a significant change in operational capacity that affects its ability to meet its obligations under this Agreement, the other party may cancel the Agreement with written notice. Cancellation will be effective immediately, and any unpaid amounts for completed work will be settled.

Cancellation clause with provision for termination if performance is no longer required

This clause allows cancellation if performance is no longer needed.

If the need for performance under this Agreement ceases or becomes redundant, either party may cancel the Agreement by providing written notice. Any work completed up until cancellation must be compensated, and the cancellation will take effect immediately upon notice.

Cancellation clause with provision for mutual termination due to unresolvable disputes

This clause allows mutual termination due to disputes.

If a dispute arises that cannot be resolved through mediation or arbitration, both parties may mutually agree to cancel this Agreement. The cancellation will be effective upon written consent of both parties, and each party will bear its own costs related to the dispute resolution process.

This article contains general legal information and does not contain legal advice. Cobrief is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.

Last updated 25 Mar 2025