Negotiating Outsourcing Contracts: Beware of Minimum Commitments (

Marc Tanowitz is quoted throughout this piece about key tips for avoiding customer-unfriendly minimum commitment clauses in outsourcing engagements.

"The inclusion of minimum commitments creates an underlying encumbrance that limits client flexibility," explains Marc Tanowitz, principal at outsourcing consultancy Pace Harmon...For example, in large infrastructure deals where the providers are compelled to acquire significant client assets, minimum commitments are not uncommon, says Tanowitz..."