contract termination
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- horton
just putting together a 1 year contract/ retainer for a client...
my sample has a clause for termination which states that the client (or designer) can terminate the contract at any time with 30 days notice.
is this normal? kinda feel like it defeats the security in signing a 12 month contract.
- brundlefly0
if you were the client that would be normal, but if you are inking it remove it or change it to something like contract terminiation will gimme 15 days billable or 10% kill fee etc.
- THA0
Ye, be sure to put a Kill Fee in there. So at least you won't be wasting your time & money if he decides to bolt more than half way through. You can specifify that if the contract is terminated in the first 3 months the kill fee is 10%, let's say, and if the contract is terminated after 6 months the kill fee goes to 30% of the total project fee, etc. That seems like the right way to go in my opinion.
- horton0
great.. thx for your input.
i'll definitely work in a kill fee.
if anyone's interested here's the sample contract i found, very nice (and editable) starting point:
- horton0
* bump...
the contract is a retainer for XXX amount of hours/ month over a year term, so a kill fee isn't really applicable.
looking for some suggestions here... anyone know the correct way to secure a long term retainer?
do i maybe just state.. "30 day trial period and client has opportunity to terminate retainer at any time during that month".. ?
- harlequino0
Why not say that the Kill Fee is equalt to xx% of the remaining time on the contract?
For example, the client kills with six months to go, and you fee is 25%. Charge them 25% of the six months.
How about that?
- Mick0
I'd say a trial period is very common. Perhaps 30 days notice after trial period, 5 days notice during trial period.
- horton0
For example, the client kills with six months to go, and you fee is 25%. Charge them 25% of the six months.
How about that?
harlequino
(Jan 22 07, 14:29)yes that could work.. seems heavy but i guess thats the point.
- madirish0
in many larger groups, especially outside of graphic/ online design industry (arch, for instance), the termination fee is a fixed % of the remaining contract