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Category: Law
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I had signed a software contract for my business and I had

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Hi I had signed a software contract for my business and I had been told that the contract was for 4 years but that is the business ceased trading the contract can be terminated immediately.I have the copy of the two page terms and condition which I believe reads as that the supplier is saying that it means I can temninate but still have to pay to end of 4 year.I have already been with them for over 3 years and my business has ceased
Assistant: Where are you? It matters because laws vary by location.
Customer: London Sw15
Assistant: What steps have you taken so far?
Customer: I have told the supplier that when I signed the contract the person I dealt with said that I can terminate the contract if business ceases .They keep emailing me to say I have to pay their invoice
Assistant: Anything else you want the lawyer to know before I connect you?
Customer: no
Customer: replied 9 months ago.
license agreement attached

Hi, thank you for the question.

The contract at section 10.2 states that the contract can be terminated if the Licensee's business (i.e the customer) ceases trading and goes in to liquidation. There is nothing in there to say you have to pay to the end of the term, so which clause is the company trying to rely upon in demanding you pay to the end of the 4th year?

Customer: replied 9 months ago.
please see this response from the company :Good afternoon, Yogesh
I have attached a copy of the terms and conditions that were signed in 2015 and I have attached the physical copies of these agreements.
You will see that again, section 10.2 states the same in that services can be terminated immediately due to business closure but this does not waiver the relevant remaining fee(s) on the account.
I appreciate what you are saying in terms of what you feel you were told at the point of sale when signing these agreements, but I am afraid our business position has always remained the same and I am unable to comment on past discussions, I can only follow correct process that has been defined in the attached terms and conditions.
On this basis, the current invoice will require payment and I am afraid authorisation has not been permitted to remove this outstanding balance.

I would rely upon the verbal representation made to you at the start of the contract and dispute the payment of the fees.

They may threaten to sue for them but the contract does not entitle them to the fees and not only that there was a verbal agreement in place at the start of the claim.

I hope this helps - if you can please accept the answer and give me a star rating, I can answer follow up Q&A's at no extra charge and Just Answer will credit me for helping you today.

Kind regards,


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