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Sample Contract Termination Letter

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    Looking for sample plus right words to write contract termination letter? We will guide you by giving template, format and tips which will help you in letter writing.

    A contract letter obligates the customer (principal) to either prepare the final (definitive) contract within the specified timeframe, or to reimburse the contractor for costs incurred under the letter.

    Thus the contract termination letter must also be in accordance with the original contract. One must remember that the contract termination letter is as important as the contract itself, as it is proof that both or more parties that were party to the contract have accepted the termination.

    It’s important to keep your contract termination letter as simple, brief and focused as possible for fast and easy understanding.

    Do a proofread and eliminate grammar and spelling errors in your contract termination letter.

    Contract Termination Letter Template

    (Sender Name)
    (Sender Title/Position)
    (Sender Organization Name)
    (Sender Street Address)
    (City, State, Zip Code)


    (Business Name)
    (Business Title/Position)
    (Business Organization Name)
    (Business Street Address)
    (City, State, Zip Code)

    Dear (Business Name),

    This letter is in the reference of the contract that was signed on (date).

    We wish to inform you that according to the Clause 10 of the contract mentioned above, we wish to terminate the contract as we shall be unable to meet the (terms and condition) stated in the contract.

    We are very sorry for the inconvenience caused. According to the Clause 12, we shall be forwarding you the monetary compensation which shall be deposited in your bank account within the next (number of days).

    We again apologize for the inconvenience caused. We also look forward to doing business with you in near future.


    (Position Title)

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