When would it ever be wise to sign an agreement with a supplier with these terms?:

  1. Exclusivity
  2. In Perpetuity
  3. No SLA
  4. 50% Net Worth Damages (e.g., if doing business with another supplier)

and with this track record of similar contracts:

  • More than 50% fail
  • Less than 100% of remaining 50% are happy

It’s no wonder that many end up just not doing any “business” anymore.