# CONTRACT TERMINATION LETTER

> **Disclaimer — not legal advice.** This template is provided free of charge, as is and with no warranty of any kind, and using it creates no attorney-client relationship. It is jurisdiction-neutral: you are responsible for adapting it, for your own legal and tax compliance, and for having a qualified professional in your jurisdiction review it before you rely on it. Full terms: https://trycolo.co/terms-of-use

Choose **Version A**, **B**, or **C** and delete the others. Send by the method required in the notices clause of your contract.

---

## Version A — Termination with notice (no fault)

**[YOUR BUSINESS NAME]**
[YOUR ADDRESS] | [YOUR EMAIL]

**Date:** [DATE]

**To:** [CLIENT LEGAL ENTITY NAME], [CLIENT ADDRESS]
Attention: [CLIENT CONTACT NAME]

**Re: Notice of termination — [AGREEMENT NAME] dated [CONTRACT DATE]**

Dear [CLIENT CONTACT NAME],

In accordance with clause [TERMINATION CLAUSE NUMBER] of our agreement dated [CONTRACT DATE], I am giving [NUMBER] days' written notice to terminate the agreement. The termination will take effect on **[EFFECTIVE END DATE]**.

[OPTIONAL, ONE SENTENCE: This decision reflects a change in the focus of my business and is not a reflection on our work together.]

Until the end date I will continue to provide the services as agreed, including:

- [REMAINING DELIVERABLE OR TASK 1] by [DATE]
- [REMAINING DELIVERABLE OR TASK 2] by [DATE]

**Final account.** I will issue a final invoice on [DATE] for [WORK COMPLETED TO THE END DATE / THE REMAINING RETAINER FEES FOR THE NOTICE PERIOD], payable on our usual terms of [PAYMENT TERMS].

**Handover.** By [HANDOVER DATE] I will provide [FILES, SOURCE FILES, DOCUMENTATION, CREDENTIALS LIST, STATUS REPORT] via [METHOD]. I am happy to hold one [30]-minute handover call with your team or new provider before the end date.

**Access.** I will remove my access to [SYSTEMS / ACCOUNTS] on [END DATE] and confirm by email. Please change any shared passwords after that date.

The clauses of our agreement that continue after termination, including [CONFIDENTIALITY, INTELLECTUAL PROPERTY, PAYMENT], remain in effect.

Thank you for the opportunity to work with you.

Yours sincerely,

____________________________
[YOUR NAME], [YOUR TITLE]

---

## Version B — Termination for breach

**[YOUR BUSINESS NAME]**
[YOUR ADDRESS] | [YOUR EMAIL]

**Date:** [DATE]

**To:** [CLIENT LEGAL ENTITY NAME], [CLIENT ADDRESS]
Attention: [CLIENT CONTACT NAME]

**Re: Termination for breach — [AGREEMENT NAME] dated [CONTRACT DATE]**

Dear [CLIENT CONTACT NAME],

On [DATE OF BREACH NOTICE], I wrote to notify you of the following breach of our agreement:

| Breach | Clause | Date notified |
| --- | --- | --- |
| [e.g. non-payment of invoice [NUMBER] for [CURRENCY] [AMOUNT], due [DATE]] | [CLAUSE NUMBER] | [DATE] |
| [e.g. failure to provide materials required under clause [X]] | [CLAUSE NUMBER] | [DATE] |

Under clause [TERMINATION FOR BREACH CLAUSE NUMBER], the breach needed to be remedied within [NUMBER] days of that notice. As of today it has not been remedied.

I am therefore terminating the agreement with effect from **[EFFECTIVE DATE — usually the date of this letter]**.

**Final account.**

| Item | Amount |
| --- | --- |
| Work completed to the termination date | [CURRENCY] [AMOUNT] |
| Committed third-party costs | [CURRENCY] [AMOUNT] |
| Amounts already invoiced and unpaid | [CURRENCY] [AMOUNT] |
| Less payments received | ([CURRENCY] [AMOUNT]) |
| **Total due** | **[CURRENCY] [TOTAL]** |

[IF APPLICABLE:] Under clause [CLAUSE NUMBER], the deposit of [CURRENCY] [AMOUNT] is non-refundable.

A final invoice is attached and is due by [DATE].

**Deliverables and rights.** Work that has been paid for in full is available at [LINK / ON REQUEST]. Under clause [IP CLAUSE NUMBER], rights in work that has not been paid for remain with me until the final invoice is settled, after which I will deliver it within [5] business days.

**Access.** I have removed [or will remove by [DATE]] my access to [SYSTEMS]. Please change any shared passwords.

This letter does not waive any of my rights under the agreement or applicable law.

Yours sincerely,

____________________________
[YOUR NAME], [YOUR TITLE]

---

## Version C — Mutual termination agreement

**MUTUAL TERMINATION AGREEMENT**

**Between:** [YOUR NAME / BUSINESS NAME] (the "Contractor") and [CLIENT LEGAL ENTITY NAME] (the "Client")

**Agreement being terminated:** [AGREEMENT NAME] dated [CONTRACT DATE] (the "Agreement")

1. **Termination date.** The Parties agree to end the Agreement on **[EFFECTIVE END DATE]**.

2. **Final payment.** The Client will pay [CURRENCY] [AMOUNT] by [DATE] in full and final settlement of all fees under the Agreement. [OR: No further payment is due by either Party.]

3. **Deliverables.** The Contractor will deliver [LIST] by [DATE]. On receipt of the final payment, rights in those deliverables pass to the Client as set out in clause [IP CLAUSE] of the Agreement.

4. **Access and materials.** Each Party will return or delete the other's confidential information and the Contractor will remove its access to Client systems by [DATE].

5. **Surviving terms.** Clauses [CONFIDENTIALITY, IP, LIABILITY CLAUSE NUMBERS] of the Agreement continue to apply.

6. **Release.** Subject to clauses 2–5 being performed, neither Party will make any further claim against the other under the Agreement. [DELETE IF YOU DO NOT WANT A RELEASE; TAKE ADVICE BEFORE INCLUDING ONE.]

| Contractor | Client |
| --- | --- |
| Signature: ____________________________ | Signature: ____________________________ |
| Name: [YOUR NAME] | Name: [CLIENT SIGNATORY] |
| Date: [DATE] | Date: [DATE] |

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### How to use this template

1. Re-read the termination, notices, payment, and IP clauses in your contract and fill in their numbers.
2. For Version B, make sure you sent a written breach notice and the cure period has passed.
3. Attach or schedule the final invoice and handover list.
4. Send by the method your notices clause requires and keep proof of delivery.
5. If significant money or a release is involved, have a qualified professional review the letter first.

*Template provided by Colo (trycolo.co). Not legal advice — review with a qualified professional in your jurisdiction.*