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How to cancel a Toast or restaurant POS contract without paying twice
To cancel a Toast or other restaurant POS contract, find your term end date and notice period, work out the early termination fee, check any loan tied to the account, then send written notice and keep proof. The FTC alleges Toast requires 30 days' written notice and charges $150 for each month left on a contract, which Toast disputes (FTC, Oct 29, 2026, checked Nov 2026). Your own agreement decides what applies to you.
Do those steps before you tell the sales rep or unplug anything. Export your data and have the new system running before the old one stops. This page is practical guidance, not legal advice. Talk to a lawyer about a large fee.
Pull five documents
- The signed agreement, including any order form and later amendments.
- Your last three monthly statements.
- Any hardware lease or financing paper.
- Any loan or cash advance agreement linked to your card sales.
- Any email where a rep promised a term, price or waiver. Promises that are not in writing are hard to enforce.
Can't find the agreement? Ask for a copy in writing through the vendor's support channel or portal. Keep the request.
What to look for and why
| Clause | What to find | Example from the FTC's Toast complaint |
|---|---|---|
| Term and renewal | End date, and whether it renews on its own | Annual or two-year subscriptions that auto-renew (FTC) |
| Notice | How many days, in what form, sent where | 30 days' written notice of "intent not to renew" (FTC) |
| Early termination | A formula or flat amount | $150 for each remaining month (FTC) |
| Hardware | Bought, financed or leased, and what happens on exit | On the $0 plan, return it or pay full retail if processing does not start within 120 days (FTC) |
| Loans | Whether leaving triggers repayment | Cancelling or switching treated as default, with the full balance due (FTC) |
| Closure fees | What you pay while closed | $85 a month for payment processing during a temporary closure (FTC) |
Swipe the table sideways to see every column.
Toast disputes these allegations and says customers negotiate their contracts. Other POS contracts carry their own terms, so treat this as a list of what to look for.
Eight steps, in order
- Mark the two dates.Write down your term end date and the last day you can give notice. If you are close to the end, waiting may cost nothing. Missing the notice date may renew you for another term.
- Work out the exit cost.Fee times months left, plus any hardware balance and loan balance. At the alleged $150, 14 months left comes to $2,100. Use your own contract's number.
- Compare leaving now with waiting.Add up what the new system saves each month, using a written quote. If 14 months of savings is less than the fee, wait and send notice on time. Our POS cost guide shows what to count.
- Get the new system quoted and scheduled.Book the install before you give notice. Toast alternatives compared lists published prices and the questions to ask.
- Export everything you own.Menu with modifiers and prices, item sales, tax reports, guest list, loyalty balances, gift card balances, and staff and tip records. Save copies off the vendor's system. Do this before notice, since access can change after.
- Send written notice.Follow the contract exactly: address, form and wording. Include your account number, the date you want service to end and a request for written confirmation. Keep the sent copy, and use a trackable method.
- Follow up on day 3 and day 10.The FTC says some owners who gave notice got no reply and were charged again (FTC). If you get routed to a sales pitch, restate the request in writing and stop discussing it.
- Watch the next two statements.Check your bank account and card deposits for new charges. Dispute anything charged after your confirmed end date, in writing, with your proof attached.
What breaks if you forget it
| What | What to do | Why it matters |
|---|---|---|
| Gift cards and loyalty | Export balances and decide how you will honor them | Guests hold you to them, whichever system issued them |
| Online ordering links | Update your website and Google profile the day you switch | Old links can keep taking orders or fail silently |
| Delivery apps | Reconnect tablets or middleware to the new POS | See middleware compared |
| Kitchen printers | Test each station with real tickets during a slow shift | A missed ticket costs more than a day of overlap |
| Card deposits | Let the old account settle before you close your side | Final deposits and fees can lag by days |
| Staff | Train on a slow day, and keep a printed menu with prices ready | Our staff rollout guide covers how to tell the team |
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Who to contact when a vendor will not respond
- The vendor, in writing, with dates and your notice attached. Ask for a named person and a date for an answer.
- Your bank, about a charge you believe is unauthorized.
- The FTC, at ReportFraud.ftc.gov, the route listed in its Toast release, and your state attorney general's office.
- A business lawyer, when the fee is large or a loan is involved. One hour of review can be cheaper than the fee.
We plan the switch or tell you to stay
We read the agreement with you, model the exit cost against a real quote and move your menu, guests and ordering links. Sometimes the answer is to stay until the term ends. AZ takes no commission from any POS vendor. Our proof restaurant in Houston runs on Clover, and we build on whichever POS fits you.
Read the case itself in FTC sues Toast: what it means for independent restaurants.
Where these facts come from
- FTC: FTC, States Take Action Against Toast Inc. (Oct 29, 2026) - checked Nov 2026
- Restaurant Dive: FTC, states sue Toast over fees (Oct 30, 2026) - checked Nov 2026
- Nation's Restaurant News: Toast is sued by the FTC (Oct 29, 2026) - checked Nov 2026
Questions owners ask
How do I cancel my Toast POS account?
Find the term end date and notice terms in your agreement, work out any fees, then send written notice as the contract requires and ask for written confirmation. The FTC alleges cancelling involves several steps and sales pitches, so keep every message.
What is the Toast POS early termination fee?
The FTC alleges $150 for each month left on the contract, undisclosed at sign-up, and cites one owner charged $5,318.87. Toast disputes the claims. Check your own agreement, since contracts vary and Toast says customers negotiate them.
How much notice do I need to give to cancel a POS contract?
It depends on your contract. The FTC says Toast requires 30 days' written notice of intent not to renew. Check your own agreement and send notice well before the deadline.
Can I cancel a POS contract early without paying a fee?
Sometimes. Waiting until the term ends avoids it, and some vendors will negotiate. Ask in writing. If a fee was never disclosed, or you believe a charge is unauthorized, talk to a business lawyer.
What happens to a Toast Capital loan if I cancel?
The FTC alleges that cancelling or switching is treated as default, so the full balance comes due at once. Read your loan agreement before you give notice, and budget for that payment.
How long does it take to switch restaurant POS systems?
Plan your notice period plus time to build the menu, install hardware and train staff. Have the new system tested on a slow shift before the old one stops. Ask your new vendor for a dated install plan in writing.
Get your exit cost and switch plan on one page.
We read the contract with you, compare it with real quotes and move the system if moving makes sense.
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