The Termination Of Service Contract Due To Non Payment Letter is a crucial document used when a service provider needs to formally end a contractual relationship due to payment defaults in Singapore. This document is typically issued after multiple payment requests have failed and serves as the final step before legal proceedings. It must comply with Singapore's Contract Act and relevant commercial regulations, including specific notice requirements and debt collection practices. The letter documents the payment history, states the grounds for termination, and protects the service provider's legal rights while maintaining professional standards in business communication.
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1. Date and Address Block: Formal letter heading with date and recipient details
2. Reference to Original Contract: Clear identification of the service contract being terminated, including date of original agreement and parties involved
3. Statement of Default: Details of missed payments, amounts outstanding, and payment history showing defaults
4. Termination Declaration: Clear and unambiguous statement of contract termination with reference to relevant contract clauses
5. Notice Period: Specification of when termination takes effect and any applicable notice periods
6. Signature Block: Formal closing with authorized signatory details
1. Remedy Period: Optional grace period allowing the defaulting party to remedy the situation by making outstanding payments
2. Future Legal Action: Warning of potential legal proceedings if payment remains outstanding
3. Service Transition: Instructions for handover or service wind-down procedures
4. Return of Property: Requirements for return of any company property or materials
1. Payment History Schedule: Detailed record of all missed payments and payment attempts
2. Outstanding Invoice Schedule: Itemized breakdown of all outstanding amounts with invoice references
3. Original Contract Extract: Relevant sections of the original contract regarding termination and payment obligations
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