Termination for convenience clauses, explained

The right to end the contract for any reason on notice. When only the client has it, and there is no kill fee, the client can cancel the day before final delivery and owe very little.

Market standard

Either party may terminate for convenience on 14-30 days' written notice. On client termination for convenience, the client pays for all work performed plus a cancellation fee (see kill fee). Amounts already paid are non-refundable.

Red flags

Only the client may terminate for convenience
Notice period of 0-3 days
On termination the client owes only for 'accepted' deliverables
No cancellation fee tied to convenience termination
Client may terminate and still demand delivery of in-progress work

Suggested wording

Either party may terminate this Agreement for convenience on 20 days' written notice. On termination by the Client for convenience, the Client shall pay all fees for work performed through the effective date plus the cancellation fee in Section X. Sums already paid are non-refundable.

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