Legal Question in Business Law in Massachusetts
Contracts
I manage a small retail business. I have been using a company for many years to remove waste cardboard for recycling and they have just greatly increased their rates. I found another company offering the same service for about 25% of the cost and I would like to switch. The first company, however, says that in 1991 we signed a three year contract that automatically renews itself every three years and that I may not leave until the current three year period expires. Am I obligated to stay? We have never been asked whether or not we wanted to stay, just simply paid our bills as they came. Thank you for your time.
3 Answers from Attorneys
Re: Contracts
Read the original contract. If you don't have it demand a copy from the supplier. If the renewal is not highlighted or was not brought to your attention you may have a claim under S 11 of the consumer protection law. Once you have read the contract, contact an attorney.
Re: Contracts
The answer to this question turns on the specific language of the contract, which you should have reviewed by an attorney.
Best wishes,
LDWG
Re: Contracts
I agree. contract language can be somewhat tricky, and while your interpretation may be all right, partially right or not right, you need to have an attorney familiar with commercial contract language review this document, and any other documents related to this contract.