A continuing contract is a type of agreement that requires ongoing performance over a specified period. Unlike executed contracts, which are completed at the time of signing, continuing contracts involve multiple actions or services delivered periodically. These contracts automatically renew until one party decides to terminate the agreement.
Continuing contracts are commonly used in various legal contexts, including employment agreements, service contracts, and lease agreements. They are particularly relevant in civil law, where they facilitate ongoing relationships between parties. Users can manage these agreements through legal templates provided by services like US Legal Forms, which offer resources for drafting and understanding such contracts.
Here are a couple of examples of abatement:
1. A subscription service that provides monthly deliveries of products operates under a continuing contract. The service automatically renews each month unless the subscriber cancels.
2. A long-term lease agreement for an apartment that renews annually is another example of a continuing contract. The tenant and landlord can continue the lease until one party gives notice to terminate.
According to Florida law, specifically Fla. Stat. § 443.091, a continuing contract is defined as a written agreement that automatically renews until terminated by one of the parties. This definition is critical for understanding how such contracts function within the state.
| State | Definition/Notes |
|---|---|
| Florida | Defines continuing contracts with automatic renewal provisions. |
| California | Similar provisions, but may require explicit consent for automatic renewals. |
This is not a complete list. State laws vary, and users should consult local rules for specific guidance.
| Term | Definition | Key Differences |
|---|---|---|
| Executed Contract | A contract that has been fully performed by all parties. | Continuing contracts require ongoing performance, while executed contracts are complete. |
| Fixed-Term Contract | A contract that lasts for a specific period without automatic renewal. | Continuing contracts renew automatically unless terminated, while fixed-term contracts do not. |
If you are entering into a continuing contract, ensure you understand the terms regarding automatic renewal and termination. It may be beneficial to consult legal templates from US Legal Forms to draft or review your agreement. If you have questions or if the situation is complex, consider seeking advice from a legal professional.
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A continuing contract is an agreement that requires ongoing performance and automatically renews until terminated by one party.