When signing a contract agreement, the involved parties should both be aware and agree on the terms and conditions stated in the contract. And if there are disputes and issues which could not be resolved or yet have breached the contract’s terms, then the contract should be terminated. The document to make to record the termination is known as a contract termination letter.

What Is a Contract Termination Letter?

Contract termination letters are documents which are intended to be sent to a specific individual or recipient to either inform or notify about the termination and cancellation of a contract agreement. In the letter, the reason for the termination will be indicated along with the date and details when the termination will take effect.

Contract Termination Letter Sample

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Employment Contract Termination Letter

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Types of Contract Termination Letters

Below are examples of the common types of contract termination letters that organizations, individuals, agencies, and companies can use:

Contract Benefits Termination Notice Letter – This is the type of contract termination letter that companies use for their regular employees whose insurance benefits are to be terminated. The contents of a contract benefit termination notice letter form would include the date when the benefits will be terminated along with the date of when the employee will be terminated from his job if ever he is fired or is resigning. In addition, the letter also contains the details of the insurance benefits termination process of the insurance provider, as well as, the continuing privileges for employees who were not terminated from the company yet are terminating their insurance coverage.

Contract Benefits Termination Notice Letter

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Employment Contract Notice to Terminate Letter – This form is suitable to be used by companies whose main intent is to terminate the employment of an employee. The first part of an employment contract notice to terminate letter is the instructions and guidelines in taking employee disciplinary action prior to filling out the letter, the header of the company, and the title of the letter. Then, the date when the letter was sent to the employee, the name and designation of the employee, and the employee’s address will be stated. The body of the letter, on the other hand, will indicate the company policies which had been violated by the employee causing his termination, the efforts and actions taken by the supervisor to address and help the employee improve, as well as the procedure to be followed by the employee if ever he plans to respond and appeal to the termination notice. And lastly, the supervisor or the one who sent the letter must affix his name and signature after the closing remarks.

Employment Contract Notice to Terminate Letter

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Janitorial Master Contract Termination Letter – Compared to the aforementioned employment contract notice to terminate letter, this type of letter template is only limited to be used by companies and employers who will be terminating their employed janitorial service providers. In the letter, not only parts of the signed contract form will be terminated but the entirety of the master contract. Furthermore, the reason for the termination, the date when the contract will be expired or terminated, and the contact information of the person whom the janitor can reach out for raising concerns about the termination will also be stated in the letter.

Janitorial Master Contract Termination Letter

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Regardless of the type of contract termination letter to be used, the sender of the letter should be able to provide sufficient justifications or proof of his claims and statements in the letter. Furthermore, documents such as other employment forms and contracts or agreement forms which were signed and also discussed in the letter can also be attached or be enclosed for reference purposes.

Tenancy Contract Termination Letter

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How to Create a Contract Termination Letter for a Tenant

Contract termination letters are not only for companies and employers but also for landlords and lease property owners. Specifically, the letter to create is known as a tenancy contract termination letter addressed to the lessee or the tenant. Follow the steps below to easily create this letter:

Step 1: Gather the facts and proofs.

These should include the original or master lease which had been signed by the tenant prior to starting the lease in order to identify and supply justification related to the contract termination.

Step 2: Open a word-processing software application program.

Word-processing software application programs are efficient in creating any type of formal letter or legal form. The default format when using this application program is DOC format which allows edits and alterations be done even after the file is saved.

Step 3: Prepare the layout of the document-sheet.

The margin and the rest of the design elements of the document-sheet which will be used for creating the letter should be customized.

Step 4: Indicate a heading.

The information to be stated in the heading would be the name and contact information of the landlord along with the designated return address of the letter, and the date when the letter was made.

Step 5: State a salutation then state the details of the termination in the body of the letter.

The salutation could either be “Mr/Mrs” or “Sir/Maam” depending on the preferences of the landlord and the gender of the recipient or tenant. And in the body, the purpose of the notice letter should be the first details to state which is then followed by the last day of the tenancy, and the contact details of the person who will be reached out to by the tenant for questions about the termination of his tenancy.

Step 6: Add a signature line.

This would be the area of the termination letter where the landlord will be able to affix his signature and his name, as well as the date when he signed the contract termination letter for the tenant.

And lastly, the tenancy contract termination letter should be proofread and corrected to ensure that there are no grammatical errors and misspelled words. And after the contents of the letter are reviewed and finalized, the letter should be saved then printed out to sign physically with a pen or be delivered electronically via email by having the landlord affix an electronic signature.

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