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You can terminate an animation contract that you sign with the client. The legal agreement that you sign with your client is not engraved in stone. Before terminating the contract, you might want to check whether it has a termination clause. If you took time to form the contract, then you must have remembered to include the termination clause. Nonetheless, the following are the reasons that justify your decision to terminate the contract.

Impossible to Fulfill
It's possible to sign a contract only to realize that it's impossible to fulfill. In law, you're justified in citing impossibility of performance as the main reason for seeking to terminate the contract. For example, if you encounter an accident that leaves you no longer capable of using your hands to create the animation, the client will have no choice but to agree to the request for termination. In such a situation, you would not be in breach of the contract.

Fraud or Misrepresentation
If you discover that the client behaved improperly, then you would be justified in asking for a termination of the contract. If you discover that the two of you are guilty of committing the same mistake while signing the contract, you would be within your legal rights in asking for its termination. If you want to terminate the contract for these two reasons, you would have a basis for doing that in law, as what you're doing is known as rescission.

Breach of Contract
If the client is guilty of breaching the contract, your demand for termination would be justified. According to Dictionary Law, Breach of contract occurs when the client refuses to do what he promised. Breach also occurs when the client does what he wasn't expected to do. If the client chooses to block you from doing what you promised in the contract, the courts would uphold the decision you made to terminate the agreement. It's worth noting that breach of contract can be the subject of a lawsuit.

Prior Agreement
The two of you are free to terminate the contract if you had agreed to do this earlier. This would be feasible if you included the agreement in the contract. The prior agreement to terminate the contract would come into force the moment you give your reasons in writing to the client. The client can also do the same, but only by issuing a written notice. Ascertain that the contract specifies the conditions the two of you must meet before terminating it.
Therefore, follow this guideline to know when it's alright to terminate an animation contract.