Check whether the parties` intention is only an extension of the period during which the current terms are to be maintained or whether, in addition to an extension of this period, the parties intend to make further changes to the contract. If the circumstances state the latter, the parties should consider whether a new contract is more appropriate. Some considerations for moving to a new contract may include price updates or other terms, a suspension of the limits of liability or acquired rights of the current contract, and a clear distinction between commitments under the current contract and those arising from the new contract. Create a contract renewal contract to increase the duration of your existing contract. If you`re happy with an existing contract about to end or want to make a few changes that extend the termination date, it`s often easier to have a contract renewal contract than to write a brand new contract or an additional contract modification document. Your renewal contract should contain details such as: the effective date of the renewal agreement; the names and addresses of the parties concerned and their signatories; the name and date of the original contract; the end date of the original contract; the end date of the extension; and any changes to the provisions of the original document (indicate exactly which part will be modified, added or deleted). You may want to add the original document to the renewal agreement so that you can clearly see what changes have been made. Other names in this document: renewal letter, renewal contract The terms of your initial agreement are still in effect, so make sure that both parties will continue to fulfill their obligations under this agreement until the extension is concluded and signed. When negotiating the contract, the parties may decide to make contract amendments a simple process or vice versa (and, as is often the case with large outsourcing and service contracts) a more complex and structured process that ensures that all necessary points are taken into account and agreed before the change takes effect. The parties should at least ensure that their contract includes an amendment clause that allows amendments to the contract only after the written agreement of the parties. These clauses provide certainty to the modification procedure (including possible renewal negotiations) and reduce the risk that the actions or words of a party will be considered as derogating from the contract. Allow each party to spend time checking both the initial agreement and the renewal. This reduces the likelihood or, at the very least, the effectiveness of a claim that a party has not understood new conditions or how these might affect the agreement as a whole.
Depending on the nature of the conditions, you can choose to testify to your extension or to be certified notarized. This limits subsequent challenges to the validity of a party`s signature. 1. Overview A good start to a working relationship and a positive first impression in a new employee are essential to create a productive, prosperous and professional job. An important part of this process is the establishment of an employment contract….