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Service Contract Cancellation Letter

Service Contract Cancellation Letter Template for Indonesia

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Key Requirements PROMPT example:

Service Contract Cancellation Letter

"I need a Service Contract Cancellation Letter to terminate our IT maintenance services agreement with TechServe Solutions, effective March 1, 2025, due to their repeated failure to meet service level agreements, ensuring we address the return of their on-site equipment and outstanding payment reconciliation."

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Document background
The Service Contract Cancellation Letter is a crucial document used in Indonesian business practice when one party wishes to formally terminate an existing service agreement. It must comply with Indonesian Civil Code requirements and any specific terms outlined in the original service contract. This document is typically used when services are no longer required, when there are performance issues, or when both parties mutually agree to end the service relationship. The letter should be drafted carefully to ensure it includes all necessary elements such as contract references, effective termination date, outstanding obligations, and transition arrangements. Under Indonesian law, proper documentation of contract termination is essential for legal certainty and risk management, making this letter a vital business document.
Suggested Sections

1. Letter Date and Reference Number: Current date and any internal reference numbers for tracking

2. Recipient Details: Full name, title, and address of the service provider

3. Subject Line: Clear indication that this is a service contract cancellation notice

4. Contract Reference: Details of the original service contract including date and reference number

5. Cancellation Statement: Clear and unambiguous statement of intention to cancel the service contract

6. Effective Date: Specific date when the cancellation takes effect

7. Outstanding Obligations: Statement regarding any remaining payments or obligations to be fulfilled

8. Return of Materials: Instructions regarding return of any relevant materials or equipment

9. Closing Statement: Professional closing with any required next steps

10. Signature Block: Full name, title, and signature of the authorized representative

Optional Sections

1. Reason for Cancellation: Include when required by contract terms or when explanation would be beneficial for future relationships

2. Notice Period Reference: Include when there are specific notice period requirements in the original contract

3. Transition Arrangements: Include when service handover or transition period is necessary

4. Confidentiality Reminder: Include when the original contract contains confidentiality obligations that survive termination

5. Dispute Resolution Reference: Include when there are pending issues or potential disputes to be addressed

Suggested Schedules

1. Proof of Original Contract: Copy of the original service contract being cancelled

2. Outstanding Payments Schedule: Detailed list of any pending payments or financial obligations if applicable

3. Asset/Material Return Checklist: List of items to be returned by either party if applicable

4. Transition Plan: Detailed plan for service handover if applicable

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

Information Technology

Professional Services

Consulting

Facilities Management

Construction

Maintenance Services

Healthcare Services

Educational Services

Transportation

Logistics

Security Services

Cleaning Services

Marketing Services

Financial Services

Property Management

Relevant Teams

Legal

Procurement

Operations

Finance

Compliance

Risk Management

Administration

Contract Management

Project Management

Service Delivery

Account Management

General Management

Company Secretariat

Relevant Roles

Contract Manager

Legal Counsel

Procurement Manager

Operations Director

Business Unit Manager

Facility Manager

Project Manager

Chief Financial Officer

Compliance Officer

Risk Manager

Administrative Manager

Service Delivery Manager

Account Manager

General Manager

Company Secretary

Industries
Indonesian Civil Code (KUH Perdata) - Book III on Obligations: Articles 1233-1456 governing general principles of contracts, including formation, validity, and termination of contracts
Law No. 8 of 1999 on Consumer Protection: Regulates consumer rights and business obligations, including service termination procedures when the service recipient is a consumer
Law No. 13 of 2003 on Employment: Relevant if the service provider is an individual contractor, governing termination of service relationships
Government Regulation No. 82 of 2012 on Electronic System and Transaction Operations: Applicable if the service contract involves electronic systems or online services
Law No. 11 of 2008 on Electronic Information and Transactions: Relevant for contracts executed electronically or if cancellation notices are to be delivered electronically
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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