Auto-Renewal (Evergreen Clause)
The contract renews itself unless you cancel within a set window.
What it means
An auto-renewal or evergreen clause automatically extends a contract for another term — often a full year — unless a party cancels within a specific notice window, such as 30 to 90 days before the term ends. Miss the window and you are committed for another full cycle. Some jurisdictions regulate auto-renewal in consumer contracts; rules vary by state.
Why it matters before you sign
Before you sign, find the renewal date and the cancellation window and put both on your calendar — evergreen clauses are how companies stay in contracts nobody remembers agreeing to.
In a contract, it looks like this
This agreement renews automatically for successive one-year terms unless either party gives written notice of non-renewal at least 60 days before the current term expires.
This definition is a general, educational explanation — not legal advice. XOsign provides AI-assisted document tools and does not provide legal advice; consider consulting a qualified attorney for guidance on your specific situation. Requirements vary by state.
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