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RLobo (Country Manager)     27 August 2014

Legality of the automatic renewal clause

What is the legality of an automatic renewal clause in service contracts?  

 

I have a contract with a service provider which they pointed out renews automatically unless they receive 90 days notice.They do not send me any communication at the 90 day point to draw my attention to the automatic renewal.  I had asked for a change in the contract verbally and the service provider's personnel acknowledged that I had asked for the change.  

After they continued to bill me for the original service I enquired and was told that the change should have been done 90 days prior and that I had to pay the "new" contract charges.  As there was a dispute with regards to the billing I refused to pay till they made the correction.  They have now sent me a collection notice, terminated the contract and they are forcing me to pay the entire contract charges even though they will not be providing the services.

Also a part of the service they contracted to provide was not delivered.  They refuse to refund the charges for that service.

Does anyone have an opinion on this.



Learning

 2 Replies

Rama chary Rachakonda (Secunderabad/Highcourt practice watsapp no.9989324294 )     27 August 2014

send a legal notice and file a complaint in consumer forum nearby

T. Kalaiselvan, Advocate (Advocate)     31 August 2014

If you feel that there is a gross injustice done to you by their such act and you have been aggrieved by their decision, you may consult a local lawyer, discuss the issues in detail and issue them with a legal notice demanding relief, if you donot get proper response, you may approach the jurisdictional consumer forum for relief and remedies.

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