I. Introduction
Courts around the country addressing the termination of commercial relationships are fairly consistent in holding that an aggrieved party to a contract terminable at will may only recover its damages for a reasonable or agreed upon notice period. The general rule limiting damages to the notice period applies in a wide variety of commercial transactions, including distribution and franchise agreements. While the majority of courts limit the non-breaching party’s damages to the notice period agreed to in the contract, a minority of courts have held that the notice period does not necessarily define the contours of provable damages. This paper will explore the divergent approaches the courts have taken and the reasoning behind them.