Contract Glossary
Notice Period
Definition
The amount of advance warning one party must give before taking a specified action — typically terminating a contract, ending employment, or exercising a right. Notice periods protect both parties by ensuring neither is blindsided, allowing time to prepare for transition, find replacements, or wind down obligations.
In Practice
Your services agreement requires 60 days' written notice before either party can terminate without cause. Your client sends a termination notice on March 1st — the contract remains in full effect until April 30th. You continue delivering services and billing during those 60 days while transitioning your team and pipeline. If the client just stopped paying on March 1st without notice, they'd be in breach and owe you damages for the notice period you were denied.
Example Clause
Either Party may terminate this Agreement without cause by providing the other Party with not less than sixty (60) days' prior written notice of termination. Such notice shall be delivered in accordance with the Notices provision of this Agreement. All obligations of the Parties shall continue in full force and effect during the notice period.
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Frequently asked questions about notice period
Improper notice — wrong method, wrong address, insufficient time — is typically treated as if no notice was given at all. The termination may be ineffective, meaning the contract continues. Or the other party may have a claim for damages covering the notice period they should have received. Follow the notice provisions exactly: method (email, certified mail, overnight courier), address, and timing.
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Create your contractThis content is for informational purposes only and does not constitute legal advice. For contracts with significant financial or legal implications, review by a qualified attorney is recommended.