Prepare for the ATT Law Exam. Practice with multiple choice questions, each providing hints and explanations. Be well-prepared for exam day!

Multiple Choice

What mechanism ends a fixed-term contract?

A fixed-term contract ends by the term itself expiring—the end date passes and the agreement terminates automatically unless the parties renew under a new contract. This is the natural mechanism because the contract is created for a defined period or task, so once that period is finished, there’s no ongoing obligation unless a renewal occurs. Automatic renewal would push the term beyond its original end date, so it isn’t the end of the fixed term. If the employee resigns, that ends the contract, but that’s a voluntary termination by the employee, not the inherent mechanism of ending at the fixed-term’s conclusion. Extending indefinitely would create an ongoing arrangement rather than a fixed-term ending.

A fixed-term contract ends by the term itself expiring—the end date passes and the agreement terminates automatically unless the parties renew under a new contract. This is the natural mechanism because the contract is created for a defined period or task, so once that period is finished, there’s no ongoing obligation unless a renewal occurs. Automatic renewal would push the term beyond its original end date, so it isn’t the end of the fixed term. If the employee resigns, that ends the contract, but that’s a voluntary termination by the employee, not the inherent mechanism of ending at the fixed-term’s conclusion. Extending indefinitely would create an ongoing arrangement rather than a fixed-term ending.