Document background
The Contract Cancellation Agreement is a vital legal instrument under Austrian law used when parties mutually agree to terminate an existing contractual relationship before its natural conclusion or scheduled end date. This document is particularly relevant when parties wish to formally document the termination of their obligations and establish clear terms for the separation. It should be used whenever parties want to ensure legal certainty in contract termination, avoid future disputes, and create a clear record of the settlement of their obligations. The agreement must comply with the Austrian Civil Code (ABGB) and may need to address specific requirements depending on the nature of the original contract (e.g., employment, commercial, or consumer contracts). It typically includes provisions for the effective date of termination, settlement of accounts, return of property, and ongoing obligations such as confidentiality.
