All good things come to an end — termination of contracts
There are three general ways in which a contract can be terminated:
1 by the term or period of the contract concluding
2 by the termination of the contract before its natural expiration by one or both parties
3 by termination of the contract at law for breach of it.
The term ends by time passing
Most commercial contracts have a limited duration. They run for a set period of time.
A limited duration has a number of benefits. It creates a sense of accountability in the person delivering the good or service. If they know they have to ‘audition’ for more business. It will tend to promote in them a higher service ethic and a stronger desire to keep the other party happy.
It also ...