2. TERM AND RENEWAL
2.1 Initial Term. Except as otherwise provided herein, the term of this Agreement shall be one (1) year, beginning on the Effective Date.
2.2 Renewals. Upon the expiration of the original term, this Agreement may be renewed for successive terms of one (1) year, or such longer term as the Parties agree, provided that renewal is effected by a written document signed by both Parties. Renewal, however, shall be subject to provisions of Section 5.6 below. This Agreement may also be terminated pursuant to provisions of Article 15 below. As mentioned in Section 1.4 above, it is mutually agreed between the Parties, and AL-MERRI so acknowledges, that PSI has the right to refuse to renew this Agreement at any stage, and in case of refusal by PSI to renew this Agreement, AL-MERRI shall not be entitled to claim any compensation or indemnification from PSI.