The Service Contract Termination Letter is a crucial document used in Indonesian business practices when a party needs to formally end a service agreement. It must comply with Indonesian law, particularly the Civil Code (KUH Perdata) and relevant business regulations. This document is essential when companies need to terminate service relationships due to completion of services, breach of contract, or other valid reasons. The letter serves as official documentation of the termination decision, including vital information such as termination date, notice period compliance, final payment terms, and any transition arrangements. Under Indonesian jurisdiction, the document must be clear, comprehensive, and aligned with both the original contract terms and local legal requirements for contract termination.
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1. Letterhead and Date: Official company letterhead with complete business details and current date
2. Recipient Details: Full name, title, and address of the service provider
3. Subject Line: Clear indication that this is a contract termination notice with reference number
4. Contract Reference: Details of the original service contract including date, parties, and contract reference number
5. Termination Statement: Clear statement of intention to terminate the contract
6. Termination Date: Specific date when the termination becomes effective, ensuring compliance with notice periods
7. Reason for Termination: Brief explanation of the grounds for termination
8. Final Payment Details: Information about any final payments or outstanding amounts
9. Return of Property: Instructions regarding return of any company property, documents, or materials
10. Closing Statement: Professional closing with contact information for further communication
11. Signature Block: Space for authorized signatory details and signature
1. Transition Arrangements: Details of any handover process or transition period, used when service continuity is critical
2. Confidentiality Reminder: Reminder of ongoing confidentiality obligations, used when sensitive information was involved
3. Dispute Resolution: Reference to dispute resolution procedures, included if there are unresolved issues
4. Mutual Release: Statement of mutual release from obligations, used in amicable terminations
5. Outstanding Deliverables: List of any pending work items or deliverables, included if project completion is relevant
6. Non-Compete Reminder: Reminder of any non-compete obligations, used if original contract contained such provisions
1. Payment Settlement Schedule: Detailed breakdown of final payments, including any pro-rated amounts
2. Asset Return Checklist: List of company properties to be returned with condition assessment
3. Service Completion Report: Summary of services rendered and status of deliverables
4. Original Contract Copy: Copy of the original service contract being terminated
Relevant legal definitions
Clauses
Relevant Industries
Information Technology
Professional Services
Facilities Management
Construction
Consulting
Manufacturing
Healthcare
Education
Telecommunications
Logistics
Property Management
Financial Services
Business Process Outsourcing
Relevant Teams
Legal
Procurement
Operations
Administration
Compliance
Contract Management
Vendor Management
Project Management
Business Operations
General Services
Relevant Roles
Chief Executive Officer
Chief Operating Officer
Procurement Manager
Contract Manager
Legal Counsel
Operations Director
Project Manager
Facility Manager
Vendor Relations Manager
Business Unit Head
Administrative Director
Compliance Officer
General Manager
Department Head
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