What is the process for terminating or renewing a government contract?
In California, the process of terminating or renewing a government contract is outlined by the state government and governed by the California Government Code. For termination, the initially limited steps involve sending a written notification to the other party of the contract, specifying the grounds for termination and the date of termination. The notification must be given at least 10 days before the termination by registered mail or personally delivered. Once the other party has been notified of termination, the contract is considered terminated and the parties can cease obligations under the contract. For renewing a government contract in California, the process is more involved and requires the parties to negotiate and execute a new agreement. First, the parties involved will review the contract for any items that need to be updated or changed. This includes any modifications to the terms and conditions, prices, payment terms, quantity/delivery terms, and other related items. Then, the parties will negotiate the terms of the contract, followed by preparing and signing the written agreement. Once the agreement is signed, both parties must perform their obligations in accordance with the new agreement.
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