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I presume you are a business given the nature of the agreement?
I suppose they didn't write to inform you of your right to cancel?
The essence of this is that this is a rolling contract. Their point is that you didn't cancel before the anniversary date in enough time to trigger cancellation without consequence. If that is what is in the contract then they can try to rely on that.
The OFT have criticised rolling contracts and many insurance companies and the like have taken to writing to warn people. However, it should be noted that the OFT guidelines are not law and so it doesn't really matter all that much whether they are happy or not.
There has been some caselaw that has suggested that very long rolling periods are unacceptable. Five years was the period cited so you do have that point. The argument is essentially that is an unfair term and so voice under UCTA. The only thing to note though is that did involve a consumer rather than a business and courts do generally expect business to be more sophisticated.
That said, the reality is that even if you do cancel and refuse to pay they only have a claim for lost profits and they may well not sue. It is rare that people do. You could always offer a lesser sum in full and final settlement of the debt if you want to make it go away.
Can I clarify anything for you?
Not if the contract demands 180 days although another point you would have is that 180 days is a very long period of notice that might fall foul of UCTA too.
It is a long period of notice. Might be considered an unfair term under UCTA.
Well, it could be argued it is designed to trap people into the rolling period.
All the best.
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