As a real-world example of a contract termination: Amazon terminated its contract with a delivery company, Bear Down Logistics — which led to Bear Down closing some of its facilities and laying people off.
Presumably Bear Down took this “what if” possibility into account when negotiating its contract with Amazon — and that’s an area where lawyers can add value: by nudging the business people to think about unpleasant possibilities (because sometimes business people might look only on the bright side of life).
Ultimately the responsibility for business planning is on the client, of course. But it can’t hurt to try to help clients think ahead.
(Shorthand: Think like a CEO — but remember that you’re not.)
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Signing a business contract: