Contract management: tacit contract renewals

Cloudtract/ Article, Bridgewater Cloudtract

Tacit contract renewals indicate that when a customer wants to terminate a contract before its expiry date, it is often needed to send a letter of resignation at least one, three or sometimes six months upfront. If he fails to remember to send the notice, the contract will be automatically renewed for a certain period (usually one year).

To avoid these tacit contract renewals, Bridgewater advises to always phrase contract renewals in agreements as follows: Three months (or six months) before expiry date, the supplier will contact the customer to evaluate a possible contract renewal.

The advantages:
1. You don’t have to worry about timely termination of your contracts. The supplier will.
2. You give yourself a chance to negotiate new and best conditions for every new contract period.

The internet is filled with comparisons of the trustworthiness of cloud providers. Those researching a cloud solution are often tasked with ensuring the cloud provider conducts audits, provides certifications, complies with industry regulations, properly screens their employees, etc. While all of these elements have their place in assessing the trustworthiness of a cloud provider, they don’t completely protect your data because it is not just the cloud provider’s responsibility to protect your data. The truth is this: whether you build your own private cloud, store your data in a public cloud, or keep your sensitive business information under your mattress, the duty to protect your data is yours alone.