Answer 7 questions to evaluate the health of your enterprise software contracts and identify terms that expose your organisation to risk.
5-10%
Annual Uplift Risk
7
Questions
3 min
To Complete
Question 1 of 7Contract Advisory
Question 1 of 7
📜
Do your contracts include automatic renewal with short opt-out windows?
Auto-renewal with 30-60 day opt-out windows is a common vendor tactic that locks you in at renewal pricing.
No auto-renewal or 90+ day opt-out
Auto-renewal with 60+ day opt-out — dates calendared
Auto-renewal with short opt-out — dates not tracked
Unknown — never checked auto-renewal terms
Question 2 of 7
📈
Are annual price uplifts capped across your contracts?
Uncapped uplifts of 5-10% compound significantly. A 7% annual uplift adds 22% by year 3.
All major contracts have 3-5% caps
Some contracts capped, others not
Most contracts have uncapped or high uplifts
Unknown uplift terms
Question 3 of 7
📉
Do your contracts allow mid-term licence reductions?
Reduction rights let you adjust quantities as needs change. Without them, you pay for unused licences until renewal.
Reduction rights in all major contracts
Some contracts have reduction rights
Most contracts lack reduction rights
Never negotiated reduction rights
Question 4 of 7
📊
Are SLAs clearly defined with financial penalties?
SLAs without financial consequences are marketing, not commitments. Service credits and remedies should be explicitly defined.
Clear SLAs with meaningful financial penalties
SLAs defined but penalties are weak
Vague SLAs — no financial penalties
No SLAs or never reviewed
Question 5 of 7
📂
Do your contracts include data ownership and export rights?
Your data must be explicitly yours, exportable in usable formats, at reasonable cost, within reasonable timeframes.
Data rights, export, and portability all addressed
Data ownership clear, export terms vague
Data rights not explicitly addressed
No data rights or ownership clauses
Question 6 of 7
🚪
Do your contracts include termination for convenience?
Without termination rights, you are locked in for the full term regardless of changing business needs.
Termination for convenience in major contracts
Some contracts have termination rights
Most contracts are non-cancellable
No termination rights in any contract
Question 7 of 7
📋
When did you last conduct a comprehensive contract review?
Contract terms become unfavourable as vendor practices evolve. Regular reviews identify and address gaps.
Within the last 12 months
1-2 years ago
At original signing only
Never conducted a contract review
Need Expert Enterprise Software Advisory?
Redress Compliance provides independent enterprise software licensing advisory across Oracle, Microsoft, SAP, IBM, Salesforce, ServiceNow, Workday, and Broadcom/VMware. No vendor relationships. No conflicts of interest.