I need some very general information on how long a contract is valid, if anybody has any experience with this kind of thing.
Basically, we have a contract signed in 2011 that says it’s valid and in force for a period of 3 years from the date listed. It says either party can terminate the agreement 90 days before the expiration of the original term or any such extension. It doesn’t say anything about being automatically extended and we haven’t actually signed a new agreement.
However, the relationship did continue past 2014 (until now), so what I want to know is are we still bound by the agreement? Since there’s no new ‘extension’ (ie. no exact date), I’m wondering if the 90 days still applies. I understand we could be bound by it since we did continue doing business with them, however without a new expiry date I can’t see how the 90 days would apply in the way it’s defined.
In another section, it says that either party can cancel if there is a breach in contract; we need to try and resolve it within 60 days and if an agreement cannot be made then the contract can be cancelled, however the party “responsible for the breach” will be responsible for loss and damages sustained.
Also, and the part that makes me wonder if the whole thing is still valid, is that there are “purchase goals” for the other party for both 2012 and 2013. So, basically, without anything here saying the relationship will be automatically extended, and the contract being very much focused on the 3 years it’s valid, I’m wondering if either of us can be held to it.
What I’m thinking is we were bound by this contract from 2011 to 2014, but now it’s invalid and our relationship has just been based on whatever the law allows for buyers/sellers.
It should go without saying I’m not a lawyer. Because otherwise I may know this stuff. [edited]