Contract Glossary
Term
Definition
The term is how long your contract lasts — start date to end date. A 12-month term starting January 1 means you're committed until December 31. But some obligations (like confidentiality and non-competes) often survive long after the term expires.
In Practice
Your consulting agreement has a 6-month term with auto-renewal for successive 6-month periods. The confidentiality obligation survives for 3 years after termination. The non-solicitation clause survives for 18 months. So even after the 6-month term ends, you're still bound by those surviving provisions. The 'term' tells you when the active work ends; the 'survival' clauses tell you when your obligations actually end.
Common in these contract types
Related terms
Frequently asked questions about term
It varies by contract type. Employment agreements are often indefinite (at-will). Service contracts run 6–12 months. Commercial leases run 3–10 years. Software licenses can be annual or perpetual. The 'right' term depends on how much commitment both parties want — longer terms provide stability but less flexibility.
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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.