# Termination for Cause Clause

Source: https://contracko.com/pt/biblioteca-de-clausulas/resolucao-por-justa-causa

# Termination for Cause Clause

Allows a party to end the contract when the other materially breaches, often after a chance to cure.

## O que é

Termination for cause lets the innocent party end the agreement when the other commits a material breach, becomes insolvent, or repeatedly defaults. Under Dutch law this typically takes the form of ontbinding, available for any non-trivial failure to perform under BW 6:265.

## Porque é importante

It is the contract's safety valve against a defaulting counterparty. Clear cure periods and a precise definition of "material breach" prevent disputes about whether termination was justified; wrongful termination can itself be a breach.

## Como aplicar

- Define material breach and list automatic triggers such as insolvency.
- Provide a cure period and require a notice of default (ingebrekestelling) where needed.
- State the effect of termination and which obligations survive.
- Address restitution and settlement of work performed up to termination.

## Exemplo de redação

> Either party may terminate this Agreement with immediate effect if the other commits a material breach that, being curable, is not cured within thirty (30) days of written notice.

## Dicas de negociação

- • Negotiate which breaches are "incurable" and allow immediate termination.
- • Consider contractually narrowing the broad BW 6:265 right for minor failures.

## Erros frequentes

- • Terminating without the required notice of default, making the termination wrongful.
- • Leaving "material breach" undefined, so any minor default is argued to justify exit.

### Como o Contracko ajuda

Contracko stores all your contracts in one searchable repository so you can instantly locate which agreements contain specific cure-period lengths or insolvency triggers when a counterparty defaults. Its AI review flags clauses where material breach is undefined or cure periods are missing, and tracks breach-notice and cure deadlines as milestones with reminders, helping you meet procedural requirements before moving to termination.

## Referências jurídicas

- [BW 6:265 Dissolution for breach (ontbinding) Direito neerlandês](https://wetten.overheid.nl/BWBR0005289)
- [BW 6:74 Damages for non-performance Direito neerlandês](https://wetten.overheid.nl/BWBR0005289)

Salvo indicação em contrário, as referências remetem para o direito neerlandês (Burgerlijk Wetboek, o Código Civil neerlandês); os instrumentos da UE, como o RGPD, aplicam-se em toda a UE. Esta é informação geral, não constitui aconselhamento jurídico. Outras jurisdições tratam estes conceitos de forma diferente. Verifique o texto em vigor e a sua situação com um advogado qualificado.

## Relevante para

[Software & SaaS](https://contracko.com/pt/setores/software-saas)[Construção](https://contracko.com/pt/setores/industria-construcao)[Consultoria](https://contracko.com/pt/setores/consultoria)[Indústria Transformadora](https://contracko.com/pt/setores/fabricacao)[Logística e Distribuição](https://contracko.com/pt/setores/logistica)

## Cláusulas relacionadas

- [Termination for Convenience Clause](https://contracko.com/pt/biblioteca-de-clausulas/resolucao-por-conveniencia)
- [Force Majeure Clause](https://contracko.com/pt/biblioteca-de-clausulas/clausula-de-forca-maior)
- [Liquidated Damages Clause](https://contracko.com/pt/biblioteca-de-clausulas/clausula-penal)

## Termos relacionados

- [Termination](https://contracko.com/pt/glossario/resolucao)
- [Breach of contract](https://contracko.com/pt/glossario/incumprimento-de-contrato)
- [Rescission](https://contracko.com/pt/glossario/rescisao)

### Nunca mais perca um prazo contratual

- A IA encontra as datas de renovação e aviso prévio
- Os riscos e obrigações são apresentados automaticamente
- Os lembretes ajudam-no a agir antes que as datas passem

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Conforme com o RGPD. Encriptado. Nunca utilizado para treinar IA.

## Perguntas frequentes

Questões comuns sobre esta cláusula.

- **Q:** Do I always need a notice of default before terminating in the Netherlands?
  **A:** Often yes. Unless performance is permanently impossible or a deadline has passed, BW generally requires putting the party in default with a cure period first.

- **Q:** Is any breach enough to terminate under BW 6:265?
  **A:** In principle, but a breach that is too minor given its consequences does not justify dissolution; parties often narrow this by contract.

- **Q:** What happens to payments already made after a contract is dissolved?
  **A:** Dissolution triggers a mutual duty to undo what has been performed (ongedaanmaking) under BW 6:271, so payments and deliveries must be settled; only partly performed contracts may allow a reasonable price claim.

- **Q:** Can a party terminate immediately for insolvency of the other?
  **A:** Yes, if the clause lists insolvency as an automatic termination trigger. Without such a clause, insolvency alone is not necessarily a breach, and termination still depends on the contractual and statutory tests.

- **Q:** What damages can an innocent party claim after terminating for cause?
  **A:** Damages for all losses caused by the breach, including the cost of sourcing a replacement, subject to the duty to mitigate and any liability cap in the contract.

## Nunca mais perca uma cláusula arriscada

O Contracko revê automaticamente cada contrato em busca desta cláusula e das obrigações que cria.

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