Renewal Definition and Legal Meaning
On this page, you'll find the legal definition and meaning of Renewal, written in plain English, along with examples of how it is used.
What is Renewal?
(n) Renewal is the extension of time or period of its existence to a future date of any agreement, lease, coverage, protection, services, contracts by maintaining the existing arrangements.
History and Meaning of Renewal
Renewal as a term has been used in legal agreements for many years. It describes the process by which an existing agreement, lease, or service contract is continued beyond its expiration date. Renewal is typically accomplished by either the parties involved voluntarily entering into a new agreement or by having the terms of the original agreement automatically continue for a specified period of time.
Examples of Renewal
- A tenant and landlord sign a one-year lease for an apartment. At the end of the lease, the tenant decides they want to stay for another year, so they sign a renewal agreement with the landlord.
- An insurance policy that covers a boat is set to expire at the end of the year. The owner wants to continue the coverage, so they renew the policy with the insurance company.
- A company's contract with a software vendor is set to expire in six months. The company decides to renew the contract for an additional year.
- A union collectively bargains with an employer. When the contract ends, they agree to renew the terms for another three years.
- A library patron checks out a book for two weeks. They want to keep the book for an additional two weeks, so they renew it through the library's online system.
Legal Terms Similar to Renewal
- Extension - lengthening or prolonging an agreement or contract beyond its original terms.
- Continuation - continuing an agreement or contract without interruption.
- Reinstatement - restoring an agreement or contract to its original terms after it has been terminated.