Free contract termination letter template (Word)
A letter ending a contract with a client, vendor or supplier: it identifies the contract and the termination clause, terminates for convenience or for cause with the breach and cure notice, sets the effective date and notice period, and covers final payment, return of materials, surviving terms and reserved rights.
No sign-up. Your answers stay in your browser. Who it is for: Businesses and freelancers ending a service, supply or consulting contract, whether as the client or the provider.
Updated · Word (.docx) · Free to use and adapt
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What is in the contract termination letter
- Recipient and the contract being ended
- For convenience, or for cause with the breach and cure notice
- Termination clause relied on
- Effective date and notice period
- Optional final payment or invoice terms
- Optional return or destruction of materials
- Surviving terms and reservation of rights
- Contact for questions
Read the full template
This is the complete wording. [Labels] are filled in from your answers, and highlighted text only appears when it applies; hover over it to see when.
[Letter date]
[Recipient name]
[Recipient address]
Re: Termination of [Contract name] dated [Contract date]
Dear [Recipient contact name],
We are writing to terminate the [Contract name] between [Sender company] and [Recipient name] dated [Contract date] (the "Contract") for cause, under [Termination clause reference] of the Contract. [Breach description] We gave you written notice of this breach on [Breach notice date], and it has not been fixed within the cure period the Contract allows.We are writing to give notice that [Sender company] is terminating the [Contract name] between us dated [Contract date] (the "Contract"), as [Termination clause reference] of the Contract allows.
The termination takes effect on [Termination effective date], which is [Notice period days] days after the date of this letter, as the Contract requires. Until then, both of us will continue to perform the Contract as usual, except as our rights allow.
[Final payment terms]
By [Materials return date], please return or securely destroy our confidential information and materials, including [Materials description], and confirm in writing that you have done so. We will do the same for yours.
The provisions of the Contract that are meant to survive termination, such as confidentiality, payment of amounts already due and limits on liability, remain in effect. This letter does not waive any of our rights or remedies under the Contract or the law, all of which are reserved.
Please direct any questions to [Sender contact name] at [Sender contact email].
Sincerely,
[Sender signatory]
[Sender signatory title], [Sender company]
The questions you answer
Clausery turns the template into a short questionnaire. Optional parts only appear when they apply.
| Question | Type | Asked when |
|---|---|---|
| Letter date | Date | Always |
| Recipient name | Short text | Always |
| Recipient address | Long text | Always |
| Contract name | Short text | Always |
| Contract date | Date | Always |
| Recipient contact name | Short text | Always |
| Is for cause | Yes / no | Always |
| Sender company | Short text | Always |
| Termination clause reference | Short text | Always |
| Breach description | Long text | If “Is for cause” is yes |
| Cure period given | Yes / no | If “Is for cause” is yes |
| Breach notice date | Date | If “Is for cause” is yes and “Cure period given” is yes |
| Termination effective date | Date | Always |
| Has notice period | Yes / no | Always |
| Notice period days | Number | If “Has notice period” is yes |
| Has final payment | Yes / no | Always |
| Final payment terms | Long text | If “Has final payment” is yes |
| Include materials return | Yes / no | Always |
| Materials return date | Date | If “Include materials return” is yes |
| Materials description | Long text | If “Include materials return” is yes |
| Sender contact name | Short text | Always |
| Sender contact email | Always | |
| Sender signatory | Short text | Always |
| Sender signatory title | Short text | Always |
How to use it
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Answer the questions
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Questions
How do I terminate a contract by letter?
Check the contract's termination clause first: it says who can end it, the notice period, and how notice must be given. Then send a letter that names the contract, the clause, the effective date and what happens next.
What is the difference between termination for cause and for convenience?
For cause means ending the contract because the other side breached it, usually after a chance to fix it. For convenience means ending it without a reason, as the contract allows, usually on notice.
How should I send the letter?
However the contract's notices clause requires, often by email and post or courier to a named address. Keep proof of when it was sent.
Is it really free?
Yes. The download is free, and filling it in with the Clausery app is free too, with unlimited documents. Library templates never count towards a plan limit, and no account or card is needed.
Is my information uploaded anywhere?
No. Clausery runs entirely in your browser. Your answers and the finished document are created and stored on your own device.
Is this legal advice?
No. These are general samples. Laws differ between countries and states, so have the wording reviewed for your situation before you rely on it.
Guide: How to terminate a contract: notice, cause and the letter
Free tool: Deadline calculator: the date a 30-day notice period ends
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This template is a general sample and not legal advice. Laws vary by jurisdiction; have it reviewed before use.