The large companies usually sign various agreements with different other companies at times, for making various deals for the supply of the equipment that is required for various processes in the company.
A contract termination letter is written in order to cancel such an agreement due to some specific reasons that do not line up with terms of the agreement. The letter is contained with the details about the faults, leading to the termination of the agreement.
Refer the following tips and sample letter of termination of a contract with a supplier to understand what needs to be communicated in the letter of contract termination.
Contract Termination Letter Sample Writing Tips:
- The letter should necessarily be written in a formal language, showing due respect and politeness to the recipient.
- Any offensive or harsh words should not be used in the letter.
- The date of the termination must be written in the letter.
- The reason for the termination must be described in detail to make the recipient understand, the necessity for the termination.
Contract Termination Letter Template
Use our free Contract Termination Letter Sample to help you get started. Simply download the .doc or pdf file and customize it. If you need additional help or more examples check out some of the sample letters below.
From,
______________
______________
______________
Date: ____________ (date of the writing of the letter)
To,
______________
______________
______________
Subject: contract termination
Dear ___________ (name of the person receiving the letter),
This letter is to inform you about the cancellation of the agreement of the business of our company with you for the supply of the equipments that we signed _____________ (number of years) years ago. But recently we get to see that _______________________________________________________________________________ (reason for the termination). And hence we’ve decided to terminate this contract, which is going to take effect from _____________ (date of the termination). We request you to clear up all the supplies that are remaining, within the given date and we’ll pay your lat services.
We hope you’ll get other companies to deal with, which may be appropriate for your services.
Thanking you,
Yours faithfully,
_____________
Name and signature
Contract Termination Letter Sample
Below mentioned is the Contract Termination Letter Sample
From,
Tim Mattews,
Manager,
Aptech Ltd,
New Jersey
Date: ____________ (date of the writing of the letter)
To,
Adolf,
Sales Department,
Zion ltd,
New York
Subject: termination of contract
Dear Adolf,
On behalf of the Manager of our company, I’d like to give prior notice to you, beforehand, about the termination of the contract. According to the norms of the agreement we signed at the beginning of the contract, we have been paying for your services on the exact dates. But we are dissatisfied with your incomplete and delayed services, leading to huge losses for our company due to the slowing down of our production processes.
Hence, it is requested to you to clear all the supplies remaining, within ABC and we even promise to provide you with your remaining payments by the same date. We hoped to have a good business with you, but unfortunately, your services are not appropriate for our company.
Thanking you,
Yours sincerely,
Tim Mattews
Name and signature
From,
Tim Mattews,
Manager,
Aptech Ltd,
New Jersey
Date: ____________ (date of the writing of the letter)
To,
Adolf,
Sales Department,
Zion ltd,
New York
Subject: Denial of the contract
Respected Sir,
It is my duty as asked by our government to terminate the contract of construction of the road and reconstruction of bridges given to your company. The termination is dated on XYZ. This decision was taken by the entire senior government official.
You are requested to collect all your stuff from the municipality office. The contract was terminated due to low-quality raw materials that were used by your engineers. The payment has stopped as the police inquiry is still underway.
I hope you will find a good future. After the inquiry is completed and if you are not found guilty the payments will be dispatched. Thanking you.
Yours Sincerely,
Name and Signature
Contract Termination Letter Email Format
Below mentioned is the Contract Termination Letter Email Format
Dear Mr. Brendan,
I am writing this letter on behalf of our Managing Director. As you know our company has been dealing with your company for the past three years, and we have ordered fifty computer systems to you. We have made a contract of three years according to which you will supply us the computer systems and will be responsible for the regular maintenance and up-gradation of the systems.
Your contract for the supply and maintenance for the computers will expire on the 24th June 2010. Since we found your services unsatisfactory, we are not able to extend your contract. In case you want to put forth your case before the M.D of our company you are requested to meet him on the 14th of June at 12o, a clock at the office.
Thank You,
With Regards,
_______________
Tim Mathews
Dear Sir,
Sub: Termination of Annual Car Lease Contract.
Ref: Our Contract document date 20th January, 2010.
This has been noticed from quite some time that various bills of our company are lying pending with you and your payment have been very delayed and unsatisfactory.
Therefore, a notice of termination of our Annual Car Lease contract is hereby served to you to terminate it with effect from 16th October 2010.
You are, therefore, requested to clear all our pending bills on or before 30th September 2010. We shall be highly obliged.
Please acknowledge receipt of this letter.
Thanking you.
Yours truly,
Mr. Abdullah Qazi
Proprietor
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