The ability to comprehend complex business documents is crucial for success in the TOEIC Reading section. Let’s practice with exercises focused on partnership agreement renewal terms, a common topic in business English.
understanding pricing strategies in contracts
Part 1: Incomplete Sentences
Complete the following sentences by choosing the best word or phrase from the options provided.
-
The partnership agreement __ for an initial term of five years.
A) runs
B) walks
C) jogs
D) sprints -
Both parties must give written notice of their intention to __ the agreement at least 90 days before expiration.
A) renew
B) revoke
C) retreat
D) rewrite -
Failure to provide timely notice may result in automatic __ of the agreement for an additional year.
A) extension
B) expiration
C) explosion
D) exposition -
The renewed agreement shall be subject to the same terms and conditions, __ as otherwise agreed upon in writing.
A) except
B) accept
C) expect
D) excerpt -
Any modifications to the renewal terms must be __ by both parties prior to the effective date.
A) mutually agreed
B) mutually disagreed
C) partially agreed
D) unilaterally agreed -
The partnership may be terminated earlier by __ consent of both parties.
A) mutual
B) singular
C) plural
D) divided -
In the event of early termination, the parties shall agree on an equitable __ of any outstanding obligations.
A) distribution
B) distraction
C) distinction
D) distortion -
The renewal process shall __ no later than 120 days prior to the expiration of the current term.
A) commence
B) cease
C) pause
D) halt -
Either party may propose __ to the existing terms during the renewal negotiation period.
A) amendments
B) appendices
C) additions
D) subtractions -
The renewed agreement shall __ effect on the day following the expiration of the previous term.
A) take
B) make
C) fake
D) rake -
Any __ in renewal negotiations shall be resolved through mediation before resorting to arbitration.
A) disputes
B) discussions
C) dialogues
D) debates -
The partnership shall conduct an annual __ of performance metrics to ensure mutual benefit.
A) review
B) preview
C) interview
D) overview -
Intellectual property rights shall __ with the original owner, even after renewal of the agreement.
A) remain
B) retain
C) restrain
D) refrain -
The renewal terms shall __ any conflicting provisions in the original agreement.
A) supersede
B) succeed
C) secede
D) precede -
Both parties shall act in good faith during the __ process to maintain a positive business relationship.
A) renewal
B) removal
C) reversal
D) revival -
Any __ to terminate the agreement must be communicated in writing with a 60-day notice period.
A) decision
B) indecision
C) precision
D) incision -
The renewed agreement shall be __ by the authorized representatives of both parties.
A) executed
B) executed
C) exerted
D) exempted -
Failure to reach an agreement on renewal terms may result in the __ of the partnership.
A) dissolution
B) resolution
C) evolution
D) devolution -
Both parties shall __ confidentiality regarding the terms of the renewal negotiations.
A) maintain
B) sustain
C) obtain
D) detain -
The renewal offer shall __ a detailed breakdown of any proposed changes to the existing terms.
A) include
B) exclude
C) conclude
D) preclude -
Either party may __ independent legal counsel to review the renewal terms before signing.
A) seek
B) hide
C) avoid
D) deny -
The renewed agreement shall be __ to all applicable laws and regulations in the jurisdiction.
A) subject
B) object
C) reject
D) project -
Any __ in payment terms must be clearly outlined in the renewal agreement.
A) adjustments
B) arrangements
C) alignments
D) assignments -
The partnership shall __ a transition plan in case of non-renewal or termination.
A) develop
B) envelope
C) devolve
D) evolve -
Both parties shall __ to resolve any disputes amicably before invoking formal resolution procedures.
A) endeavor
B) endanger
C) endorse
D) enclose -
The renewal agreement shall __ provisions for regular performance reviews and adjustments.
A) incorporate
B) incapacitate
C) incarcerate
D) incinerate -
Any __ of the renewal terms shall be considered a material breach of the agreement.
A) violation
B) validation
C) variation
D) vibration -
The parties shall __ in good faith to address any unforeseen circumstances affecting the renewal.
A) negotiate
B) navigate
C) negate
D) neglect -
The renewed agreement shall __ force majeure clauses to protect both parties from unforeseeable events.
A) include
B) exclude
C) conclude
D) preclude -
Both parties shall __ their respective obligations under the renewed agreement with due diligence.
A) perform
B) deform
C) conform
D) inform
Part 2: Text Completion
Read the following passages and select the best word or phrase to fill each blank.
Passage 1:
Partnership agreements often contain specific provisions for renewal to ensure continuity and mutual benefit. The renewal process typically (1)__ several months before the current agreement expires. Both parties must (2)__ their intention to renew in writing, usually within a specified timeframe. This allows ample time for (3)__ and potential adjustments to the terms. If both parties agree to renew, they may choose to (4)__ the existing terms or negotiate new ones based on changing business needs or market conditions.
-
A) commences
B) concludes
C) ceases
D) continues -
A) express
B) suppress
C) impress
D) repress -
A) negotiation
B) navigation
C) negation
D) notation -
A) maintain
B) obtain
C) detain
D) abstain
Passage 2:
During the renewal process, it’s crucial for both parties to (5)__ their goals and expectations clearly. This may involve reviewing the partnership’s performance over the previous term and (6)__ areas for improvement. Any proposed changes to the agreement should be (7)__ in detail, including modifications to financial arrangements, responsibilities, or operational procedures. Both parties should also consider external factors that may (8)__ the partnership in the coming term, such as market trends or regulatory changes.
-
A) articulate
B) articulate
C) anticipate
D) animate -
A) identifying
B) ignoring
C) intensifying
D) interpreting -
A) outlined
B) outlawed
C) outlandish
D) outlasted -
A) impact
B) impede
C) implode
D) impersonate
Passage 3:
The renewal terms should also address potential scenarios for early termination or (9)__ of the agreement. This may include provisions for dispute resolution, such as mediation or arbitration, to handle any (10)__ that may arise during the renewed term. It’s also wise to include clauses that allow for (11)__ adjustments to the agreement if circumstances change significantly. This flexibility can help ensure that the partnership remains (12)__ and beneficial for both parties throughout the renewed term.
-
A) dissolution
B) resolution
C) evolution
D) devolution -
A) conflicts
B) confluences
C) conferences
D) confidences -
A) periodic
B) sporadic
C) chaotic
D) static -
A) viable
B) variable
C) voidable
D) visible
Passage 4:
When finalizing the renewal, both parties should carefully (13)__ the entire agreement to ensure accuracy and completeness. It’s often advisable to have legal counsel (14)__ the renewed agreement before signing. Once both parties are satisfied with the terms, the renewal should be (15)__ by authorized representatives from each organization. After execution, it’s important to (16)__ copies of the renewed agreement to all relevant stakeholders and update any internal systems or processes accordingly.
-
A) review
B) revise
C) revive
D) revoke -
A) review
B) renew
C) revoke
D) refuse -
A) executed
B) exhausted
C) exhumed
D) exempted -
A) distribute
B) disturb
C) distort
D) distinguish
understanding pricing strategies in contracts
Answer Key
Part 1: Incomplete Sentences
- A) runs
- A) renew
- A) extension
- A) except
- A) mutually agreed
- A) mutual
- A) distribution
- A) commence
- A) amendments
- A) take
- A) disputes
- A) review
- A) remain
- A) supersede
- A) renewal
- A) decision
- A) executed
- A) dissolution
- A) maintain
- A) include
- A) seek
- A) subject
- A) adjustments
- A) develop
- A) endeavor
- A) incorporate
- A) violation
- A) negotiate
- A) include
- A) perform
Part 2: Text Completion
Passage 1:
- A) commences
- A) express
- A) negotiation
- A) maintain
Passage 2:
5. A) articulate
6. A) identifying
7. A) outlined
8. A) impact
Passage 3:
9. A) dissolution
10. A) conflicts
11. A) periodic
12. A) viable
Passage 4:
13. A) review
14. A) review
15. A) executed
16. A) distribute
TOEIC Reading Comprehension: Contract Renewal Process
These practice questions and passages are designed to help you improve your understanding of partnership agreement renewal terms, a crucial topic in business English and the TOEIC Reading section. By mastering this vocabulary and these concepts, you’ll be better prepared to tackle similar questions in the actual TOEIC exam.
