Termination clause
A termination clause states how and when a party may end a contract before it would otherwise expire, and what happens when they do.
Updated November 5, 2026 · 1 min read
On this page
Types of termination
- For cause: ending it because the other party breached, usually after written notice and a chance to fix the problem, called a cure period.
- For convenience: ending it for any reason with notice, often with a fee or payment for work done.
- Automatic: ending on an event, like a business closing or a license lapsing.
What to include
- How notice must be given, and how many days it takes to take effect.
- The cure period for a breach, if there is one.
- What's owed on exit: work done to date, materials already ordered, deposits.
- What survives the end: confidentiality, payment, indemnities and governing law.
In SignMaster
Send a termination notice as a document to sign, so you have a record of when the other party opened it and acknowledged it. The library has a termination letter and a lease termination letter. To pull back a contract that's still waiting for signatures, void the envelope instead.
