Legal Question in Business Law in California
evergreen clause
Copier copanies try to invoke the evergreen clause in California. Is it true that CALIF is one of the States that do not allow copier companies like IKON to use the clause here in CA.
2 Answers from Attorneys
Re: evergreen clause
As far as I know, "evergreen" contracts are lawful in California. In certain consumer contracts, they have to be highlighted by use of large type and/or positioning near the signature line. In business contracts, they are rather common.
Re: evergreen clause
I'm not aware there's any restriction on evergreen clauses, especially in business contracts as opposed to consumer contracts. Don't sign contracts with evergreen clauses, or else cancel the contract extension, certified mail or however specified in the contract, the same day you sign them. READ the contracts you sign. Have your attorney review your contracts before you sign them, this will save you money in the long run.
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