Extension Agreement

Download Extension Agreement Bundle

Extension Agreement Format

This Extension Agreement (“Agreement”) is made and entered into on this [Date] by and between:

1. [Party 1 Name], [designation/title], located at [address] (“Party 1”); and
2. [Party 2 Name], [designation/title], located at [address] (“Party 2”).

RECITALS
WHEREAS, Party 1 and Party 2 are parties to an original agreement dated [original agreement date], titled “[Agreement Name]” (the “Original Agreement”);
AND WHEREAS, the parties desire to extend the term of the Original Agreement in accordance with its provisions and as set forth below;

NOW, THEREFORE, in consideration of the mutual promises and agreements contained herein, the parties agree as follows:

1. Extension of Term

The term of the Original Agreement, set to expire on [original expiry date], is hereby extended for an additional period commencing on [start of extension date] and ending on [end of extension date], unless further extended or terminated as provided in the Original Agreement.

2. Unchanged Terms

Except as expressly modified in this Agreement, all terms and conditions of the Original Agreement remain in full force and effect.

3. Amendments (if any)

[If applicable, specify any changes to the original agreement, such as revised payment terms, scope of work, etc. If none, write “No additional changes are made to the terms of the Original Agreement.”]

4. Confirmation of Terms

Both parties hereby confirm and agree that they continue to be bound by the terms and conditions of the Original Agreement, as extended and modified by this Agreement.

IN WITNESS WHEREOF, the parties have executed this Extension Agreement as of the date first above written.

Party 1:

Name: _________________________
Title: _________________________
Signature: _____________________
Date: __________________________

Party 2:

Name: _________________________
Title: _________________________
Signature: _____________________
Date: __________________________

OPTIONAL SECTIONS:

• Governing Law: [Specify the jurisdiction that governs this Agreement.]
• Notices: [Outline how notices will be communicated, if not already covered in the Original Agreement.]

What is an Extension Agreement?

An extension agreement is a legal document used to extend the validity or timeline of an existing contract. Instead of creating a new contract, it modifies the expiry date or deadline of the original agreement while retaining its terms and conditions. This document is particularly useful in scenarios where additional time is needed to fulfill obligations, whether in real estate, employment, or other contractual arrangements. You can also see more on Lease Renewal Agreement.

Agreeing to Extend: The People Using the Document

With the changes in the environment, businesses are looking for better ways to save energy and lessen carbon emissions. After all, human beings are responsible for protecting Mother Earth from more damages. In an effort to do good for the community and the environment, Trecora Resources—one of the leading petrochemical manufacturing companies in the world—has decided to extend its partnership with Martin Operating Partnership L.P., a supplier for natural gasoline. According to the company’s CEO, Pat Quarles, the multi-year contract extension is a favorable step for better feedstock costs, feed flexibility, and feedstock savings. Significantly, extension agreements are convenient for different people in a deal. So, who else uses this document for business and personal reasons?

Artists

Singers, performers, actors, and actresses with commitments to various projects they can’t complete in time should ask for extensions from directors and producers. Although doing this has repercussions, such as extra expenses and changes in schedules, it can still work. But the final decision still lies in the demands of the people on set. The artists might try to push back some deadlines with the help of extension agreements with the management. You can also see more on Amendment Agreement.

Entrepreneurs

As mentioned before, businesses form alliances over similar projects and goals. However, constraints in the procedures will affect the flow of work. With that, entrepreneurs can apply for extensions on completion dates of projects. Before doing so, both companies have done research and estimations to shoulder the changes. On the other hand, businesses relying on suppliers for particular materials and goods can also employ an extension agreement.

Students

Undergraduates and postgraduate students can ask for an extension when it comes to academic deadlines. Some learners ask for more hours, days, or weeks before the submission of the final paper. This situation does not require contract forms, and the agreement can be verbal. However, some cases need documents as proof of the said agreement. Hence, whipping up the material will be useful. You can also see more on Draft Agreement.

Athletes

Extension agreements are popular among athletes. Many baseball stars, football players, and basketball superstars get to sign this deal, especially if the team wants the personalities to remain in their care. The managers make the arrangements with the other officers when it comes to the extension of the start athlete. Often, extensions provide more benefits to the player, such as an increase in pay or more publicity.

Homeowners

Tenants with interest in staying in the apartment or room for some months should get extension agreements with the building administrator. While renewing a lease is an option, having extensions can work especially for renters with a history of traveling or otherwise. If the homeowner renews the contract and has to leave in the next two weeks, the effort will become fruitless. Instead of having another contract, an extension becomes the better choice. You can also see more on Business Lease Agreements.

How to Create an Extension Agreement?

Although it looks easy to write, extension agreements are tricky to create, especially with the new information that needs to be in the contract. Both parties have sides to take on the extension agreement, and each of them should get a fair share of the benefits. Thus, formulating an intensive extension agreement for the benefit of everyone involved takes time. So, what are the steps to complete to make the extension agreement agreeable to all the parties?

Step 1: State the Purpose and Reasons for the Extension

When creating the document to add in the contract, you have to state the purpose of the extension clearly. By enumerating the reasons and explaining the points, the two parties will understand the things at stake. For instance, extending the stay of a tenant for one more month after the expiration of the contract. You have to make sure that each section contains details for the intended extension. You can also see more on Contract Agreements.

Step 2: Set the New Guidelines

If the party requests an extension in the contract, the other group can confirm or refuse the appeal. However, when the sides are favorable for both entities setting new guidelines is essential. Extensions agreements, particularly in cases of athletes, have different deals. Therefore, stipulating new rules and conditions helps both businesses or individuals safeguard their assets and resources.

Step 3: Reiterate the Retained Sections and Arrangements

Since this document becomes an extension to the previous agreement, you have to mention the retained sections and classifications. As some of the content in the current contract still holds value to the partnership, it should be on the new and comprehensive material. If the portion is unnecessary, then refrain from adding the pages in the new agreement. You can also see more on Standard Lease Agreement.

Step 4: Include Countermeasures and Plans

As a precautionary measure, you have to include contingency plans such as countermeasures if the other party breaches the new agreement. Doing this protects not only everyone but also lessens the liabilities of each party. When the two groups are not satisfied with the content, they can revise it before signing anything.

FAQs