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The Business Relationship Termination Letter is a crucial document used in Philippine business practice when one party wishes to formally end a business relationship or agreement with another party. It serves as an official record of the termination decision and ensures compliance with Philippine legal requirements, particularly those outlined in the Civil Code and Commercial Code. This document is typically used when ending vendor relationships, supplier agreements, distribution partnerships, or other business arrangements that require formal notification. The letter must be carefully drafted to include specific termination dates, reasons (if appropriate), outstanding obligations, and any post-termination requirements, while maintaining professional tone and protecting both parties' legal interests. It's essential to consider notice periods specified in the original agreement and ensure the termination process aligns with Philippine contract law principles.

1. Header and Date: Company letterhead, current date, and proper business letter formatting

2. Recipient Details: Full name, title, company name, and complete address of the recipient

3. Subject Line: Clear indication that this is a termination notice, including any relevant contract or relationship reference numbers

4. Opening Statement: Professional greeting and reference to the existing business relationship or contract being terminated

5. Termination Declaration: Clear and unambiguous statement of intent to terminate the business relationship, citing specific agreement dates and names

6. Effective Date: Explicit statement of when the termination becomes effective, ensuring compliance with notice periods in the original agreement

7. Reason for Termination: Brief, professional explanation of the grounds for termination, if appropriate and required

8. Outstanding Obligations: Summary of any remaining obligations, payments, or duties that need to be fulfilled by either party

9. Next Steps: Clear outline of actions required from either party to ensure smooth termination process

10. Closing Statement: Professional closing with contact information for further communications

11. Signature Block: Full name, title, and signature of the authorized representative