TIL everyone's obsessed with 'termination for convenience' clauses but they're missing the real killer

I keep seeing people focus on the exit clause while ignoring the 'survival' section that keeps obligations alive forever. My last contract had a confidentiality term that survived for 5 years post-termination, which is a huge liability if you're not tracking it. Anyone else get burned by a sneaky survival clause they didn't negotiate?

3 comments

3 Comments

dixon.david28d ago

Honestly, the two year hard cap Andrew mentioned is the only way to go. It forces the other side to actually use the info or bring a claim, not just sit on it. The_riley's three year mess shows how that extra time just lets problems fester. Tbh, if they push for longer, you have to ask what they're really planning to do with your secrets for half a decade. I'd walk away before agreeing to anything open ended.

andrew_shah28d ago

Yeah, always add a hard cap on survival periods, like two years max.

the_riley28d ago

We had a three-year survival clause on a deal that went sideways. It dragged out forever and killed the renewal. Two years is the absolute sweet spot, forces a real decision.