# Exit Period

> any period of notice to terminate this Agreement which has been given under clause 23 or , where such notice has not been given before twelve (12) months

**Term:** Exit Period  
**Last updated:** 2026-07-29

## Definition

## What Exit Period Means in a Contract

The Exit Period is the defined stretch of time during which a contract is winding down and both parties are expected to complete the practical steps needed to bring the relationship to a close. Rather than the contract simply stopping on a given date, the Exit Period recognises that ending a commercial arrangement, particularly one involving services, data, or ongoing supply, requires planning, handover, and cooperation. It is a mechanism found in longer-term or operationally complex agreements, where an abrupt cessation of services could damage either party or a third party such as a customer.

The clause typically ties the Exit Period to two possible triggers. First, it can begin the moment a valid notice to terminate is served under the agreement's termination clause. Second, where no such notice has been given, the clause deems the final twelve months before the natural expiry of the Contract Term, or any Extended Contract Period, to automatically constitute the Exit Period. This second limb ensures that even if neither party actively terminates early, there is still a formal runway for exit planning before the contract lapses on its own terms.

Understanding when the Exit Period starts is essential because many other obligations, such as data return, transition assistance, or restrictions on new commitments, are often expressed as applying.

## Context

### Relevant circumstances

- When notice of termination starts a defined transition window
- If a 12-month run-up to contract expiry triggers exit obligations
- Where exit-period activities must follow the agreed plan

### Relevant sectors

- Legal Services
- Business Services
- Commercial Contracts

## Relevant contract types

- [Notice Period Notice](https://www.genieai.co/en-us/template-type/notice-period-notice)
- [Service Agreement](https://www.genieai.co/en-us/template-type/service-agreement)
- [Sale Agreement](https://www.genieai.co/en-us/template-type/sale-agreement)

---

This is the Markdown representation of [https://www.genieai.co/en-us/define/exit-period](https://www.genieai.co/en-us/define/exit-period), provided for AI agents and crawlers. The HTML page is canonical. See [/llms.txt](https://www.genieai.co/llms.txt) for the full content map.