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Notice Of Termination Of Contract

Notice Of Termination Of Contract Template for Indonesia

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Key Requirements PROMPT example:

Notice Of Termination Of Contract

"I need a Notice of Termination of Contract for our software maintenance agreement with TechServe Solutions, to be effective March 1, 2025, providing the standard 60-day notice period as per the original contract terms."

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Document background
The Notice Of Termination Of Contract is a crucial legal instrument used in Indonesian business practice when one party wishes to formally end a contractual relationship. This document is essential for ensuring compliance with the Indonesian Civil Code (KUHPer) and related regulations governing contract termination. It should be used when a party needs to terminate a contract either according to predetermined terms, due to breach, or through mutual agreement. The notice must include specific elements required under Indonesian law, such as clear identification of the contract, explicit termination statement, effective date, and any applicable notice periods. The document serves as official record of termination and helps protect the terminating party's legal interests while ensuring proper communication of obligations and transition requirements.
Suggested Sections

1. Letter Header: Company letterhead, date, reference number, and formal addressing to the recipient including full name and address

2. Contract Reference: Clear identification of the contract being terminated, including its title, date, and parties involved

3. Notice of Termination Statement: Clear and unambiguous statement declaring the intention to terminate the contract

4. Legal Basis for Termination: Reference to the specific clause in the original contract or legal provision that permits the termination

5. Effective Date: Specific date when the termination becomes effective, considering any notice period requirements

6. Outstanding Obligations: Statement regarding any remaining obligations, payments, or duties that need to be fulfilled by either party

7. Closing: Professional closing statement, signature block with authorized signatory's name, title, and company details

Optional Sections

1. Reason for Termination: Detailed explanation of the circumstances leading to termination - include when termination is due to breach or specific events

2. Transition Arrangements: Details of any handover process or transition period - include when there are ongoing projects or services

3. Post-Termination Obligations: Reference to surviving clauses or continuing obligations - include when there are confidentiality or non-compete provisions

4. Dispute Resolution Reference: Reference to dispute resolution procedures - include when there are contested issues

5. Return of Property: Instructions regarding return of materials or property - include when physical or intellectual property needs to be returned

Suggested Schedules

1. Copy of Original Contract: Attached copy of the contract being terminated for reference

2. Evidence of Breach: If termination is due to breach, documentation evidencing the breach

3. Statement of Outstanding Amounts: Detailed calculation of any pending payments or financial settlements

4. Handover Schedule: Timeline and details for transitioning services or projects, if applicable

5. Proof of Authority: Documentation proving the signatory's authority to terminate the contract on behalf of the company

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Relevant Industries

Manufacturing

Technology

Services

Retail

Construction

Healthcare

Education

Financial Services

Telecommunications

Energy

Transportation

Real Estate

Agriculture

Mining

Hospitality

Relevant Teams

Legal

Procurement

Contracts Administration

Compliance

Risk Management

Operations

Commercial

Business Development

Corporate Secretariat

Executive Leadership

Project Management

Account Management

Vendor Management

Relevant Roles

Legal Counsel

Contract Manager

Business Development Manager

Chief Executive Officer

Chief Legal Officer

General Manager

Procurement Manager

Operations Director

Company Secretary

Commercial Director

Risk Manager

Compliance Officer

Project Manager

Account Manager

Vendor Manager

Industries
Indonesian Civil Code (KUHPer): The fundamental law governing contracts in Indonesia, particularly Articles 1233-1456 dealing with contracts and obligations, and Articles 1381-1403 specifically addressing termination of contracts
Law No. 13 of 2003 on Manpower: If the contract involves employment relationships, this law governs termination procedures and notice requirements for employment contracts
Government Regulation No. 35 of 2021: Implementing regulation for fixed-term employment agreements, outsourcing, working and rest hours, and termination of employment relationships
Law No. 30 of 1999 on Arbitration and Alternative Dispute Resolution: Relevant for dispute resolution clauses and procedures in case of disagreement over contract termination
Law No. 40 of 2007 on Limited Liability Companies: If the contract involves corporate entities, this law provides relevant provisions regarding corporate authority to terminate contracts
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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