Contract conversion, what is binding.

[Kosmik]

Hi chaps,

Just a question for any legal eagles on the forum, if you have a contract and the contract is upgraded/converted, don't the terms or laws binding the new contract take over from the old? Basically can a company use the terms of the old contract against you to avoid compliance with the new?

Back story: I had a timeshare contract which fell into the whole perpetuity argument. I was offered a conversion/upgrade into a finite fixed term membership contract which I accepted and became binding. I now want to cancel the entire contract/membership, to my understanding it should be treated as a fixed term contract and the relevant laws apply ( ie: 20 days business notice required for cancellation as well "reasonable early cancellation penalties" , as per the CPA ).

Comments, suggestions? And yes, depending how it goes I may contact a lawyer eventually if I have to as well.

 

[desiganp]

Difficult to say without seeing the "new" contract you signed.

It could have been an addendum/addition to the existing contract which may or may not have completely removed your obligations from the initial contract i.e. the "new" contract could just have removed your obligation with respect to a particular set of clauses from the initial contract but retaining your obligation with respect to the remaining clauses.

Unless the new contract specified that you are absolved from all your obligations under any previous contracts, the initial contract could still be valid and enforceable.

Best to get professional legal advice.