Extension of Agreement
The short document that moves a contract’s end date. It is simpler than writing a new one, provided the old one has not already expired.
- The new end date and any changed provisions stated precisely
- Told plainly whether an extension is the right document, or an amendment is
- Drafted by experienced lawyers against your original contract
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What an extension of agreement is
A short agreement continuing an existing contract that is about to end, by changing its termination date.
A contract extension agreement is used when you want to continue an existing contract that is about to end. A new contract does not need to be drafted, because only the change in the termination date has to be made. It can also be used to make changes in the existing contract at the same time. It is often simpler than writing a whole new contract or a separate amendment document.
It is also called a contract extension letter or an extension of contract agreement.
The one thing to watch is the date. An extension signed after the original has already expired is not extending anything, because there is no live contract to extend. What you have created is a new contract on the old terms, backdated. Sign it before the end date, not after.
- What it does
- Moves the end date
- Between
- The original parties
- All of them
- Sign it
- Before the expiry
- Not afterwards
- Should state
- Both end dates
- The old one and the new
- Attach
- The original contract
- Also called
- A contract extension letter
Why have it drafted
- Your original contract read, so the extension actually attaches to it
- A lawyer tells you whether you want an extension, an amendment or a renewal
- Any changed provisions written specifically rather than left implied
- A quick engagement, handled online
- Thousands of businesses served across every state in India
What the extension should contain
Six things, and the sixth is the one that prevents an argument later.
- The effective date of the extension agreement
- The names and addresses of the parties involved, and their signatories
- The name and date of the original contract
- The end date of the original contract
- The end date of this extension
- Any amendments to any provisions of the original, specific about what is being changed, added or deleted
Attach the original contract to the extension. It is what lets anyone reading the two together see exactly what was adjusted.
Extension, amendment or renewal
An extension moves the date
Everything else stays as it was. This is the document when the arrangement is working and simply needs longer.
An amendment changes a term
The price, the scope, the service levels. If what you are actually doing is changing the deal, calling it an extension does not make it one.
A renewal starts again
A fresh contract on fresh terms. Worth doing where the original is old enough that neither side would sign it again today.
You can do two at once
An extension can carry amendments, and often does. The rule is only that the amendments are stated specifically rather than smuggled in beside a new date.
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Have questions? Find answers here
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What if the original contract has already expired?
Then there is nothing to extend. Signing an extension after the expiry creates a new contract on the old terms, backdated, which usually works commercially but is a weaker position than an extension signed in time.
Where the parties have carried on performing after the expiry, the position is more complicated and is worth a conversation.
Can we change the price at the same time?
Yes. An extension can carry amendments, and a price change is a common one.
It has to be stated specifically: which clause is being changed, and to what. An extension that mentions a new figure in passing is the kind that gets disputed.
Does everyone who signed the original have to sign the extension?
Yes. It is the same contract continuing, so every party to it has to agree to the continuation.
Does it need stamp paper?
Where the original attracted stamp duty, the extension usually does too, at the rate the state sets. We confirm the position for your state as part of the drafting.
Get your extension drafted
Before the original runs out, which is what makes it an extension.
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