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Consider selecting a few critical performance milestones and allow an option to terminate for convenience if these are missed, even granting termination rights at specified intervals.
The right to terminate for convenience, however, may cost you money, but it is much less than payment in full.
Customer's right to terminate for convenience (although this right, if exercised, is often accompanied by a large payment to the provider to compensate it for the capital outlays associated with the project and a reasonable amount of lost profit over the full contract term).
In addition, Logical Sequence has notified Electronic Data Systems ("EDS") that it is exercising its right to terminate for convenience its exclusive License and Distribution Agreement (the "Agreement") with EDS, dated April 29, 2003.
BTGI: NASDAQ) announced that the Tennessee Valley Authority has decided to terminate for convenience two parts of a three-part open systems contract awarded to BTG in January.