General Terms and Conditions, frequently referred to as “Boilerplate,” defines how the Client and Consultant will relate to each other in a business relationship without regard to a specific project. The following is a critical “Boilerplate” item that if not clearly and equitably stated will likely result in misunderstandings and confrontational situations:
Termination/Suspension of Consultant’s Services – The termination provision in the contract should address the following:
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- Which party can terminate/suspend
- Can termination/suspension occur with or without cause
- Can termination/suspension occur with or without penalty
- The amount of written notice required prior to termination/suspension
- How payment for services provided prior to termination is to be made
- How Consultant is to be paid for archiving of work prepared prior to termination/suspension
- That Consultant can suspend or terminate services due to non-payment by Client