Most technology contracts renew themselves. Internet circuits, phone systems, copiers, software and managed services often roll into a new term at a higher price because the notice deadline passed before anyone looked.
The fix is not complicated. It is one list, a calendar and a checklist started early enough to matter.
Why 90 days matters
Three things make a late start expensive. Many contracts require written notice 30, 60 or 90 days before the term ends. A replacement service, especially an internet circuit, can take weeks or months to install. And once the notice date passes, most of your negotiating leverage goes with it.
The checklist
Find the contract
Locate the signed agreement, not just the invoice. Note the term end, the notice period and the renewal term, which is sometimes as long as the original.
Confirm usage
Count what you actually use: seats, lines, circuits, bandwidth and devices. Paying for unused capacity is the most common finding.
Read the price language
Look for annual increases, "then current rates" wording and fees that apply at renewal.
Get current pricing
Ask the current vendor and at least two alternatives to price the same scope today.
Decide the path
Renew as is, renegotiate, right size or replace. Each one has a different timeline, so decide early.
Send notice in writing
If you might leave, send written notice of non renewal before the deadline using the method the contract requires. You can usually still renew on new terms afterward.
Get new terms in writing
Confirm pricing, term length, renewal language and any increase caps before you sign.
Calendar the next one
Put the next notice deadline on the calendar with a reminder 120 days ahead.
The contracts that catch people most often
- Internet and phone circuits on 36 month terms that renew for the same length
- Copier and print agreements with per page minimums
- Managed IT agreements with long notice periods
- Software subscriptions with annual true ups
- Security tools bundled into multi year agreements
Keep one list
A single spreadsheet does most of the work: vendor, service, monthly cost, term end, notice deadline, auto renewal yes or no, and who owns the relationship. If you do not have that list today, our free renewals audit builds it for you from your invoices and benchmarks every line against current pricing.
Questions we hear about this
It is a term that renews the contract automatically at the end of its term unless you give notice by a set date. Some renew month to month, others renew for a full new term.
Sometimes. Vendors will often still discuss pricing, but your leverage is weaker once the new term has started. It is always worth asking, and worth starting earlier next time.
Start 90 to 120 days before the notice deadline for most services, and earlier for internet circuits or anything that needs installation.
No. When a renewal moves through Level2, the vendor pays us. If staying with your current vendor on the current terms is the right call, we will say so.