Many software agreements renew automatically unless you give written notice before a deadline, often well before the term ends. If you miss it you may be bound for another term. Find the date at signature, put it on a shared calendar with a review date ahead of it, and give one person ownership.
Where the terms hide
Look in three places: the order form, the master agreement, and any renewal addendum. They may disagree, so check which one the precedence clause favours. Find answers to these questions:
- Does the term renew automatically, and for how long?
- How many days before the end must notice be given, and in what form?
- Who must receive it: a named address, a postal address, a portal?
- Can the vendor change terms or fees at renewal, and with what notice?
- Does a different clause allow early termination for cause?
Do not rely on memory or on a salesperson's email. The signed text governs.
Set three dates, not one
Notice deadline. The last day you can give notice. Write it as a hard date.
Decision date. Sixty to ninety days before the notice deadline, so legal, procurement and the sponsor have time to act. This is your real deadline.
Evidence date. A month before the decision date, pull usage and value numbers: findings fixed, pipelines covered, tickets raised, and who actually logged in.
What to review at the decision date
- Did we use it? Seats and integrations with no activity are a signal.
- Did it do the job in the original need statement?
- Is something else now better, or has overlap appeared with another tool?
- Can we change terms in return for renewing: shorter term, narrower scope, better support terms?
- If we leave, is the export plan ready? See the exit plan guide.
Ownership
Name one owner on the order record. When that person leaves the company, reassign the renewal in the offboarding checklist. Contracts with no owner are the ones that renew by accident.
Notice that actually counts
Send notice the way the contract says, to the address it names, and keep proof of sending. An email to your account manager may not be valid notice. If the contract allows notice through a portal, take a screenshot.
If you missed it
Ask. Vendors sometimes agree to a shorter renewal or a termination at a later date. It costs nothing to request, but do not plan around it.
Quick check
Is a reminder in my own calendar enough?
Put it in a shared calendar, with two people notified. Individual calendars disappear when people leave.
Does a short term avoid the problem?
It reduces the cost of a missed date, but the notice rule still applies.
Last reviewed: 19 October 2026.
