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When canceling an agreement, it's crucial for businesses to establish fair cancellation terms. These terms should not grant excessive rights to the business or create unnecessary obstacles for customers wishing to cancel. For instance, allowing unilateral cancellation without a refund can be legally deemed unfair. Similarly, preventing customers from canceling, even in cases of contract breaches or not allowing a cooling-off period, may also be seen as unfair. Unfair terms are unenforceable and do not protect the business. Adhering to fair terms can help prevent disputes, save time, and safeguard the business in adverse situations, while also aligning with regulations from the CMA or trading standards.
