Before you sign that vendor contract, check these five clauses.

The five clauses that decide it

1. Scope of work — Vague language like “ongoing support” or “as needed” with no specifications, volume, or timeline invites scope-creep disputes later — the whole contract is measured against this section, so it's worth pinning down first.
2. Payment terms — The headline price is rarely the whole story. Check the invoicing frequency, the payment window, and — most often missed — whether the vendor can raise the price mid-term or on renewal without your sign-off.
3. Liability & indemnification — Check whether indemnification runs both ways and whether there's a cap tied to what the contract is actually worth — a one-sided, uncapped clause can make your business responsible for the vendor's mistakes.
4. Termination rights — Termination rights matter most exactly when they're hardest to negotiate — after something's gone wrong. Look for a termination-for-cause right with a real, defined cure period, not just an end-of-term exit.
5. Auto-renewal — Auto-renewal extends the contract unless you give notice inside a specific window — often 60 or 90 days before the end date, when nobody's watching the calendar. Check the window length, and whether price or terms can change on the renewed term.