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Protect Your Site If a Sponsor Terminates Early

Protect Your Site If a Sponsor Terminates Early

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When sponsors terminate a clinical trial early, research sites may face financial losses for preparatory or ongoing work. To mitigate this risk, contracts should explicitly guarantee payment for all work performed up to the termination date, as well as reimbursement for non-cancellable expenses such as IRB fees, recruitment advertising, and staff training. Including a wind-down clause ensures compensation for necessary closeout activities—such as patient chart reviews, final visits, and data queries. Sites may also consider negotiating a minimum payment guarantee if termination occurs within the first 6–12 months and requesting upfront payments to offset early-stage costs. These protections help ensure that early termination does not disrupt site operations or financial stability.


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