Agreement Termination Letter, Sample & Format
An Agreement Termination letter can be written by either party of an agreement to inform the other party of the termination of the agreement. This letter can state the termination of an association of individuals, partnership of companies or the termination of time served in a particular organization by an individual. It is a common practice of businesses to have in writing a notice of termination of an agreement. The letter states the fact that the agreement between two parties is close to termination and further actions can be suggested.
However, it must be explicitly stated that both parties involved have arrived at a consensus and agreed to mutually end or terminate the agreement. Since it is an official letter, The reason for the same must also be mentioned. The date of commencement, as well as the duration and date of termination of agreement must be mentioned in the letter.
Agreement Termination Letter – Sample
The sample letter for Agreement Termination is given below:
189 Glamour Street
Massapequa, NY 11758
January 22, 2017
Grand Automobiles Servicing
1822 Single Street
Malden, MA 02148
Dear Sir / Madam
RE: Agreement Termination
This letter serves to bring to your notice that the service agreement between Future Grooves and Grand Automobiles Servicing is coming to an end on March 30, 2018.
From our records, the service agreement has been in effect since March 30, 2007. We are pleased with the little business collaboration and service from Grand Automobiles during these past years. Over the past 3 years, the agreement between both the companies has been renewed on an annual basis. So far the agreement has been renewed thrice.
However, we regret to inform you that we shall not be renewing the service agreement with you after the current agreement terminates as Future Grooves set up its Servicing department last year to cater to the company’s needs. Furthermore, with the rise of the dollar against our currency in the past year, our company has suffered major financial complications. Most of which were arising out of the deals that originated from the partnership with your company in particular.
We wish Grand Automobiles Servicing the best in its future undertakings, and we thank you for the good services that you have provided Future Grooves. We hope this does not affect our professional relationship in any which way. Due to unforeseen circumstances, it is best to terminate this partnership before it adversely affects both of our companies. However, we would most definitely be happy to advance a new partnership with you once the market has stabilized and our company has recovered financially. We once again thank you for this wonderful and smooth partnership!