Contract Termination Letter | How to Write a Contract Letter?

A contractual letter is mostly used administrator purpose in construction projects. In this article, we will discuss How to write a contract letter, contract offer letter, and contract termination letter. Also, you can get knowledge about contract offer letter example, how to write a contract termination letter, contract cancellation letter, contract letter, contract breach letter, contract offer letter, how to write a contract letter of intent.

How to write a contract letter?

How to write a contractual letter | contract offer letter

So be sure to bookmark this article to check out future posts to learn valuable information on the other sources as well. Also, you can share our valuable articles with other professionals. By the end of these articles, you will become familiar with contractual letter writing and how to draft a contract offer letter.

Read more: Procedure of Contractual Claims in Construction Contract...

In business letters nowadays, there are two styles of punctuation being used. One is mixed punctuation
and the other is open punctuation. Mixed punctuation requires a colon to follow the opening salutation
and comma to end the complimentary close. However, in open punctuation, both the colon and the
comma are not used.

Open punctuation is a relatively new concept in English grammar and has been popularized by the use
of computers. Open punctuation means minimal use of punctuation throughout the body of the letter.
Due to the ability to review spelling and grammar content electronically, the open punctuation style has
become more and more accepted.

Traditionally, after each address line, a comma is used. However, according to Purdue Online Writing
Lab, open punctuation has become increasingly popular in full block business letters. In this style, there
is usually no punctuation at the end of the address lines. Each line of the address can be left without
punctuation. However, if you like the traditional style better, you can use a comma on each line of
address except for the last one, which is the more modern style of writing addresses on formal letters.
Punctuation in the body:

For block formats or formats in which each line begins from the left margin, the layout has been
modified slightly. The body of the letter is kept justified and a blank line is left between each paragraph.
The punctuation in the body of the letter should be followed as the grammar and syntax dictate. The
context of the body remains largely the same, with an opening statement of purpose and subsequent
paragraphs stating the background and supporting information.

Other tips related to contractual letter writing

• Write the name, the position and the address of the person you are writing to
• Use;
- The person’s surname (Dear Mrs. Kasuni) if you know it and if you know the person fairly.
Only use the first name (Dear Kasun) if you know him or her very well

- ‘Dear Sir’ if you are writing to a man and ‘Dear Madam’ if you are writing to a woman and
you don’t know their names

- ‘Dear Sir/ Madam’ or ‘Dear Sir or Madam’ if you don’t know the name or the sex

- You can also use a person’s position (Dear Resident Engineer, Dear Chairman, etc)
• Write the date; there are various ways, but preferably ‘14 January 2018’
• Write topic a short sentence
• If you are writing a reply, write the reference, date of that letter and the date you received
• Begin with a sentence which explains the purpose of the letter (first paragraph)
• Write your letter from the second paragraph and have more paragraphs, if necessary
• Endings;


- Use ‘Yours faithfully’ where you have used ‘Dear Sir’ or ‘Dear Madam’ (note use of capital &
simple letters)
- Use ‘Yours sincerely’ where you have used the person’s name ‘Dear Ms. Perera’ (note use of
capital & simple letters)
- You can use ‘Best wishes’, ‘Best regards’, ‘Regards’, ‘Kind regards’ etc, (note use of capital &
simple letters) in letters which are not very formal and you know the person very well.

Writing a contractual letter

• The writing process depends on;
- Who you are writing to (or for the reader)
- Why you are writing (purpose)
- What you are writing about (content)
- Where you are, how much time you have, how you feel

• Paragraphing, titling and subtitling;
- Use any system but be consistent

• Punctuation
- Self-study

• The three main stages of the writing process;
- Preparing to write
- Drafting
- Revising

Preparing to write a contractual letter

1. Brainstorming (write down your ideas quickly in any language, don’t worry about how important those ideas, write down contract documents related, clause numbers etc as they come in to your mind)
2. Speed writing (write as much as possible on the matter, don’t worry about neatness and accuracy)
3. Ask yourself WH questions (what, who, where, why, when)
4. Get your ideas into order (use numbers or arrows to put your write-up into an order)
5. If you are replying to a letter; read the letter carefully, underline parts that you want to mention in the reply.

Drafting of contractual letter

1. This is where you really begin writing
2. This is your first draft, do not worry too much about spelling, grammar, punctuation, etc
3. Don’t worry too much about the beginning, you will want to change it anyway
4. You may write different beginning sentences and choose one
5. Don’t begin at the beginning at all, start anywhere, come back later and write the beginning
6. It is important the at this stage you must get your all ideas on to the paper, therefore, do not too much concentration to make corrections, remember this is your first draft.
7. If you run out of ideas, look back to your preparation notes or postpone your writing for a
8. while and do some other work and then come back and re-start writing.
9. Relate the content of your draft to the contract documents and contract clauses.

When revising the contractual letter

1. Check you have written what you want to say.
2. Check you have written it in a clear way.
3. Check your content and purpose are clear and appropriate to the reader.
4. Check if you have quoted the right contract document, contract clauses, etc.
5. Check spellings, punctuation, grammar, arranging, changing, adding, leaving out words, and so on.
6. Read it out loud to yourself or have someone else read it to you.
7. Keep it aside for some time, do some other work, and read and revise again.

Contract Letter of Intent

Ref                                                                                                                                       Date


General Manager
SM Builders (Pvt) Ltd
No. 1, Bathiya road'
Colombo 04.

Dear Sir,
----------------------------------------Your project name--------------------------------------------
Letter of Intent (subject, matter)

This is with reference to your Tender ref …... dated …... for ................(project name)................
This letter serves as a notice to General Manager, SM Builders (Pvt) (SMB) Ltd of the intent of MR Land Developers (MRLD) to enter into a contract with SMB for the aforementioned works. This notice does not require SMB to begin any pre-mobilization activities that will result in a cost to MRLD. In the event that a contract cannot be entered into, for any reason, MRLD will not be obliged to reimburse SMB for any related costs incurred by SMB.


If you have any questions, please contact the undersigned.
Please indicate your acceptance of this Letter of Intent by signing both copies and returning one copy to the Employer.

Thank You.

Yours faithfully
------------------------
Chairman
MR Land Developers
Copy: The Engineer
---------------------------------------------------------------------------------------------------------------
We hereby acknowledge receipt of the Letter of Intent.
................................
General Manager
SM Builders (Pvt) Ltd
Date:………………….
Copy:


Notes to the letter writer:
• This is NOT a Letter of Acceptance
• The purpose of this letter to alert the contractor of a possible Letter of Acceptance (LOA)
• It is NOT compulsory to issue this letter; instead, the LOA can be issued immediately

Contract Termination Letter

Ref                                                                                                                                       Date

1 May 2016
Employer
…………..


Dear Sir


------------------------------------------Your project name---------------------------------------------


Interim Payment Certificate not issued – Termination by Contractor


We refer to our monthly Statement with supporting particulars for works executed up to 31
March 2017 submitted to the Engineer by our letter ref… dated 2 April 2017 in the amount
of Rs.....….
We wish to draw to your attention that the Engineer’s Interim Payment Certificate (IPC)
was due latest on 30 April 2017 (within 28 days of receipt of the Statement according to
Sub-Clause 14.6 of the Conditions of Contract). However, we have not yet received the IPC
and is now delayed by more than 56 days.

In accordance with Sub-Clause 16.2 (b) please note that 56 days period has now expired
and we give 14 days’ notice of Termination of Contract.


By copy of this letter, we request the Engineer to provide any instructions necessary for the
protection of life or property or safety of the Works as stated in Sub-Clause 16.3(a).

Thank You.

Yours faithfully
…………………………………….
Contractor’s Representative
Copy:
The Engineer


Notes to the letter writer:
Sub-Clauses 14.6, 16.2 (b) (Sub-Clauses 14.5, 16.2(a) of SBD/02)
1. This is a notice to the Employer under Sub-Clause 16.2 (b)
2. After receipt of the monthly Statement, the Engineer has 28 days to issue IPC (Sub-clause 14.6). After
that, 56 days of the receipt of the Statement (Sub-Clause 16.2 (b)) 21days’ notice may be given
(penultimate paragraph of Sub-Clause 16.2) of Termination of Contract
3. Obtaining legal advice from a competent lawyer is highly recommended regarding issuing the notice
of termination
4. Letters are based on FIDIC (C) 1999. Time periods in SBD/02 are different in some instances,
thus modifications will be necessary.



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