When is a contract not a contract?

One of Insider’s pet peeves is customers who think a contract is not a contract.  Insider signed a year out of home advertising contract with a restaurant group.  The contract had a sixty day cancellation clause.  The restaurant group sent an email last week saying that it was going a different direction and was cancelling its billboard with 20 days notice.  The email also said that if Insider didn’t do that the chain “would consider moving current and future inventory to another vendor.”

Imagine how this client would react if Insider sent an email part way through a year-long contract saying that he was doubling the billboard rent on 20 days notice and that if the client didn’t like it Insider would refuse to rent any more billboards to the chain of restaurants.  That’s blackmail, not business.

We emailed the customer pointing out that the contract has a 60 day cancellation clause so we will bill for 60 more days and then take them down.  If it costs us future business so be it.

What would you do?  Let Insider know using the form below.

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