The Auditor Termination Letter is a critical corporate governance document used in the United Arab Emirates when a company needs to formally end its relationship with its external auditors. This document must comply with UAE Federal Law No. 32 of 2021 and related regulations, particularly for listed companies and regulated entities. The letter is typically issued following board and/or shareholder approval, depending on the company's articles and applicable regulations. It should address key aspects including the effective date of termination, transition arrangements, document handover procedures, and final fee settlements. For listed companies, additional requirements from the Securities and Commodities Authority must be considered, while regulated entities may need to comply with Central Bank requirements. The timing and content of the letter should align with the company's articles of association and any specific industry regulations.

1. Letter Header and Date: Company letterhead, current date, and reference number if applicable

2. Addressee Details: Full name and address of the audit firm and the responsible audit partner

3. Subject Line: Clear indication that this is regarding termination of audit services

4. Reference to Appointment: Details of original appointment, including date and term of service

5. Termination Notice: Formal notice of termination with specific effective date

6. Reason for Termination: Brief, professional statement of the reason for termination if required

7. Transition Requirements: Instructions regarding handover of documents and information

8. Final Fee Arrangements: Statement regarding settlement of outstanding fees and final billing

9. Professional Obligations: Reminder of continuing confidentiality obligations and professional duties

10. Signature Block: Authorized signatory details and company stamp