Letter Of Agreement


A letter of agreement is a letter wherein two parties who wish to enter into a contract form an agreement. In this agreement, both the parties state their terms and conditions for the contract, i.e., fully disclosing as to what they want from the contract and sign on it after agreeing together on same things. It is necessary while entering into any contract so as to avoid any fraud which may take place in the absence of a written agreement.

A letter of agreement is a formal letter and has to be crafted very carefully so as to not miss any important points regarding the contract. One should mention all the necessary details about the formation of a contract like its nature, duration and the parties signing it. After all the detailing, ensure that there are no grammatical mistakes in the letter. Still having a problem drafting an agreement letter? Take a look at the sample below to help yourself with it.


Sample Letter

The following is the sample of a letter of agreement.


Meena Pathak,


RET Pvt. Ltd.




Sanjeev Mishra,

General Manager,

TYP Co. Pvt. Ltd.

Subject: Letter of Agreement

Dear Sir,

I am writing this letter to inform you regarding the signing of the contract over which we had a discussion a week ago. As per the discussion, you were willing to purchase our products at quotation of Rs. 5000 Per kg. Also, you wanted your name to be printed on the products before we send it to you. However, after discussion with the whole production and sales team, we have a decided to make few changes in the contract.

Our products shall be sold to you at your said price, i.e., Rs. 5000 per kg. However, since we too are a company that is still growing in the market, we want our name to be printed on the final product that will be sold via your business on the market. We have agreed to all the other conditions of yours.

If you agree to these changes in our agreement, then we shall sign the contract as soon as possible. Revert to us with this letter regarding your confirmation or cancellation of the agreement. I am sending this letter a set of a new agreement in which all changes have been made. Do go through the entire document carefully and contact us in the case of any queries from your side. We look forward to working with you.

Thanking you

Yours sincerely,

Meena Pathak


RET Pvt. Ltd.

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