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renewal contract

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jnkbell

Member
Texas
I have a contract with an alarm company that we signed when the system was installed. The terms state that the original agreement is 3 years, and will automatically renew for successive 1 year periods - an auto renewal contract. I was told something about an "evergreen clause", and was told that after the 3 year period, if I had not signed any other agreements, that in the state of Texas this evergreen clause does not apply and I can end any contract at any point in time - adhering to the 30 day notification period. I can't find enough documentation to discern that because Texas has no evergreen clause means I can get out early or I must adhere to the 1 year term.
Any assistance would be appreciated.
 


adjusterjack

Senior Member
"I was told" = The most dangerous phrase in the English language.

You need to read the contract more carefully.

Automatic renewal clauses are often automatic unless you take some sort of action not to renew, like maybe giving ___ months written notice that you aren't going to renew. Or the contract might have a cancellation provision.

An "evergreen clause" is not going to be entitled "evergreen clause" so you aren't going to find it by looking for "evergreen clause."

An evergreen clause is a statement within a contract, that says something to the effect of “this agreement shall automatically renew for another one (1) year term, unless either party provides notice to the other of its intent to terminate this agreement not less than thirty (30) days before the end of the then current term.”
https://www.l4sb.com/blog/evergreen-clauses/

You'll have to read your contract to find something like that. If you missed the first automatic renewal you'll have to wait until the current period expires and give your written notice for the amount of time required by the contract.

Make sure you follow the contractual requirements to the letter.
 

jnkbell

Member
"I was told" = The most dangerous phrase in the English language.

You need to read the contract more carefully.

Automatic renewal clauses are often automatic unless you take some sort of action not to renew, like maybe giving ___ months written notice that you aren't going to renew. Or the contract might have a cancellation provision.

An "evergreen clause" is not going to be entitled "evergreen clause" so you aren't going to find it by looking for "evergreen clause."



https://www.l4sb.com/blog/evergreen-clauses/

You'll have to read your contract to find something like that. If you missed the first automatic renewal you'll have to wait until the current period expires and give your written notice for the amount of time required by the contract.

Make sure you follow the contractual requirements to the letter.
I like the "I was told" comment. Also appreciate your comments and insight. The contract is stated almost verbatim with the evergreen clause example you attached, so I believe I'm on the hook for the duration. Thanks again.
 

adjusterjack

Senior Member
I believe I'm on the hook for the duration
For the duration of the current contract year.

Make sure you follow the non-renewal notice requirements when the anniversary gets close. Put a reminder on your computer screen so you see it every day.

I use a program called Sticky Notes. It puts yellow notes on my screen and I have my calendar of important future dates going forward from now to a year or two.
 

jnkbell

Member
For the duration of the current contract year.

Make sure you follow the non-renewal notice requirements when the anniversary gets close. Put a reminder on your computer screen so you see it every day.

I use a program called Sticky Notes. It puts yellow notes on my screen and I have my calendar of important future dates going forward from now to a year or two.
I use the same - just have to remember to look at them! Thanks
 

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