Beware of Convoluted, Non-Existent Or Onerous Termination Clauses

In this article, the author warns readers to be wary of termination clauses in service contracts within the condo industry. While most contracts have reasonable termination clauses, some heavily favor service providers and make it nearly impossible for the condo corporation to terminate the contract. This can result in high costs and frustration, even in cases of inadequate performance. The author advises that contracts should have termination for convenience clauses allowing a party to terminate with 60 or 90 days' notice for any reason, as well as termination for cause clauses that are not overly complicated or onerous. It is important for boards and managers to read contracts carefully and consult with a condo lawyer if necessary