(1) A party to a surrogacy agreement may terminate the agreement at any time before a gamete or an embryo transfer by giving notice of termination in a record to all other parties. If a gamete or an embryo transfer does not result in a pregnancy, a party may terminate the agreement at any time before a subsequent gamete or embryo transfer.

    (2) Unless a surrogacy agreement provides otherwise, on termination of the agreement under subsection (1), the parties are released from the agreement, except that each intended parent remains responsible for expenses that are reimbursable under the agreement and incurred by the surrogate through the date of termination of the surrogacy agreement.

    (3) Unless there is fraud, a party is not liable to any other party for a penalty or liquidated damages for terminating a surrogacy agreement under this section.