[blair@sepsusa.com]

Has anyone been successful in negotiating out of an automatic renewal clause in a communications agreement (internet/telephone)?

I unknowingly missed the expiration of my Time Warner Telecom agreement while in the process of signing an agreement with a alternative company. The switch would have saved us about $1,500/year.

When I notified Time Warner we would not be renewing I got a very arrogant "sorry, you lose" response saying that I am stuck for another year at their rate. If I wanted a lower rate I would be expected to sign another long term contract. I am totally dissatisfied with TW Telecom and would love to know how to escape their grip.

If nothing else I have learned to ALWAYS cross out the Automatic Renewal Clause from all future agreements. You should too.

[Robert Ball]

Don't know if applies in your case, check out this idea/tip that was discussed on OA last year (Idea/Hot Tip: Cancel your Verizon Wireless contract without an early termination fee - OfficeArrow)... and it worked. Maybe something similar works in your case.

[edfanning]

Originally Posted by blair@sepsusa.com

Has anyone been successful in negotiating out of an automatic renewal clause in a communications agreement (internet/telephone)?

I unknowingly missed the expiration of my Time Warner Telecom agreement while in the process of signing an agreement with a alternative company. The switch would have saved us about $1,500/year.

When I notified Time Warner we would not be renewing I got a very arrogant "sorry, you lose" response saying that I am stuck for another year at their rate. If I wanted a lower rate I would be expected to sign another long term contract. I am totally dissatisfied with TW Telecom and would love to know how to escape their grip.

If nothing else I have learned to ALWAYS cross out the Automatic Renewal Clause from all future agreements. You should too.

Yes it is possible as everything is negotiable. If you read their fine print they give you a date when you have to tell them you will not be renewing otherwise it will auto-renew. When signing a contract, sign for a specific term and as you indicated cross out the auto-renew portion. It will be up to you to remember when the contracts expire with the auto-renew but with a specific termination point the company will contact you if they wish your business. One thing to watch out for with telecom vendors is wording that when the term expires then your costs will go a to a month-to-month tarrif rate which usually doubles or triples your existing rates.

[blair@sepsusa.com]

Originally Posted by Robert Ball

Don't know if applies in your case, check out this idea/tip that was discussed on OA last year (Idea/Hot Tip: Cancel your Verizon Wireless contract without an early termination fee - OfficeArrow)... and it worked. Maybe something similar works in your case.

Thanks! Unfortunately in our case the rate charged for the additional year remained the same while the market and even Time Warner's package prices decreased. T/W would not extend the lower rate without a two year commitment. Lesson learned - I will always strike the automatic renewal clause and recommend others do the same. Obviously we won't be working with Time Warner either.

[blair@sepsusa.com]

Originally Posted by edfanning

Yes it is possible as everything is negotiable. If you read their fine print they give you a date when you have to tell them you will not be renewing otherwise it will auto-renew. When signing a contract, sign for a specific term and as you indicated cross out the auto-renew portion. It will be up to you to remember when the contracts expire with the auto-renew but with a specific termination point the company will contact you if they wish your business. One thing to watch out for with telecom vendors is wording that when the term expires then your costs will go a to a month-to-month tarrif rate which usually doubles or triples your existing rates.

Thanks for responding. Even though the term doesn't end until December, I will send out a notification letter today and mark my Outlook to fire off a couple more before the 30 written notice requirement. Live and Learn.