TRAPPED IN A CONTRACT?

This contract will terminate at the end of its term but will remain in force for an undetermined period unless either party gives notice of termination of not less than 30 days or 60 days, some notice periods stretch out even longer.

Sounds like the contract you’re in?

Unless the correct procedure to cancel is followed this contract is renewed automatically by this clause and will continue for an undetermined period until terminated, and then you still have the notice period to contend with.

HOW TO MANAGE THESE TYPE OF CONTRACTS

These auto-renewal type of agreements are common in the brokerage industry

To avoid financial loss or even minimize risk it is better to either avoid these types of contracts or to delete those clauses. If deleting these clauses in unavoidable, then diarize, to re-visit this contract closer to the termination date and decide if it is time to give notice.

CAN YOU GET OUT OF THIS RENEWAL CLAUSE?

It is extremely difficult to challenge a service provider on this renewal clause as the courts normally enforce this type of clause.

Some brokerages require a fee to get out of this clause and sometimes in order to move forward it is financially viable to pay this and move on, others take a strong stance and will make you abide to the agreement to the end, and have clauses continuing after the notice period.

Some brokers will be open about their contract and inform you upfront on termination points (there could possibly be more than one) but most brokers steer away from this 

I have said this before, and I say it again “read the small print”

In some instances, it could be possible to negotiate changes to the termination point(s) before signing depending on company and/or broker you are dealing with.