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Early Termination of Contract Letter Template

If you’re in the middle of a contract and find yourself needing to exit early, it’s important to do so in a professional and legal manner. To help you with this process, we’ve put together an early termination of contract letter template. Before we dive into the template, let’s talk about why this is important.

Why Send an Early Termination of Contract Letter?

There are a few reasons why you might need to terminate a contract early. Maybe you’re not getting what you need from the other party, or maybe your company’s financial situation has changed. Whatever the reason, it’s important to make sure you have a written record of your decision to terminate the contract. This will help protect you in the event of any disputes or legal actions that may arise.

When writing an early termination of contract letter, it’s important to keep a few things in mind. First, be clear and concise about your reasons for terminating the contract. Second, be professional and courteous throughout the process. Finally, make sure you follow any procedures set forth in the contract itself.

Early Termination of Contract Letter Template

[Your Company’s Letterhead]


[Contractor’s Name and Address]

Dear [Contractor’s Name],

I am writing to inform you that we have decided to terminate our contract with your company, effective immediately. Unfortunately, due to [insert reason for termination], we are no longer able to continue with this agreement.

We understand that this termination may cause some inconvenience, and we apologize for any disruption this may cause. We would like to make the transition as smooth as possible, and we are willing to work with you to ensure that all outstanding obligations are met.

Please let us know if there are any specific steps we need to take to terminate the contract properly. We will also need to discuss any remaining payments owed under the contract, as well as any outstanding deliverables that need to be completed.

We appreciate your cooperation in this matter and hope to continue our professional relationship in the future.


[Your Name and Title]

[Your Company’s Signature]

[Your Company’s Contact Information]


Writing an early termination of contract letter can be a difficult task, but it’s important to do so in a professional and legal manner. By using this template as a guide, you can ensure that your termination is carried out smoothly and without any legal repercussions. As always, it’s important to consult with an attorney or other legal professional if you have any questions or concerns about the termination process.