A hardware company wrongfully terminated a software development contract without cause, even though the software company was performing its obligations. The court ruled that the software company retained full ownership of all software modifications created after the termination. This means the hardware company lost all contractual rights and couldn't claim ownership of work product just because it ended the deal. For subcontractors, this is critical: you keep ownership of your work if the other party terminates without a valid breach on your part.
Termination without cause doesn't give you ownership rights to the other party's work—you lose those rights when you wrongfully terminate
Document that the other party is performing their obligations; if they are, you can't terminate 'for convenience' and claim their work product