Letter of termination of the contract

In the current market economy conditionsbusiness entities should have a flexible pricing policy and analyze the constantly changing conjuncture. In practice, there are quite often situations where agreements, drawn up earlier, become unprofitable for the organization over time and require revision. As a rule, the contract contains ways by which necessary changes must be made. But the organization that initiated the change must notify its counterparty. To do this, she can during the validity period of the agreement by sending a letter on the termination of the contract. This right is enshrined in Article 450 of the Civil Code of the Russian Federation.

Letter of termination of the contract, a sample of whichcan be found on the Internet, made out on the company letterhead of the organization, and in case of its absence on the standard A4 sheet. At the beginning of the document, the details of the two parties that are counterparties are indicated. These data are processed in accordance with the established rules of record keeping. Requisites must reflect the information specified in the contract, which is subject to termination.

The title of the document in such situations is notis reflected. The text should immediately lead to the essence of the message itself. For example, JSC "Autoria" notifies about the termination of the contract. After that, the agreement number and date when it was concluded are indicated. Further, it is necessary to point out the reasons that led to the decision to terminate the contract. These include:

- non-compliance with the provisions of the current agreement;

- untimely transfer of funds.

A letter of cancellation must also becontain the manner and order of termination of the concluded relations. The final part indicates the date from which the agreement will be considered invalid, and the obligations of the parties are terminated.

A letter of termination is fixedsignature of the head of the business entity or a person who is authorized to do so. It is mandatory to indicate his position and full name. The signature is certified by the seal of the organization. The document must be registered under the outgoing number in full accordance with the regulation on record keeping, which is accepted at the enterprise. The letter is sent to the addressee by mail with a notification. In case of refusal of possible claims, receipts must be kept.

A single sample letter of termination of the contract is notis developed by legislative acts. In this regard, each enterprise makes it arbitrarily, indicating in the text part all the necessary information.

A letter of termination shall indicateterm, which is given to the second party of the transaction for the answer. If the counteragent's decision is positive, the agreement is considered invalid from the moment of receipt of the letter from him. If the answer is not received within the specified period, or the second party does not wish to terminate the contractual relations, the organization interested in the termination of the transaction has the right to file all the necessary documents with the court.

Grounds for terminating the agreement can bespecify as conditions when it is drawn up. So, for example, Article 523 (cl.2) of the Civil Code of the Russian Federation fixes provisions when violations of obligations of one of the parties are recognized as significant. This can happen when:

- the sale of goods not corresponding to the declared quality, deficiencies in which are not eliminated in a period that suits the party-buyer;

- violations of the time of delivery or payment of products, as well as non-assembly of goods twice or more.

In this case, the injured party has the right to demand compensation for the losses incurred by it.

When drafting a contract, counterparties may also provide for other cases on the basis of which the contract can be terminated.