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The Supplier Termination Letter is a crucial business document used when a company needs to formally end a relationship with a supplier in accordance with Canadian legal requirements. This document is typically used when a company decides to discontinue a supplier relationship due to various reasons such as performance issues, strategic changes, or contract expiration. The letter must comply with Canadian federal and provincial contract laws and should include specific elements such as contract references, termination dates, and transition requirements. The document serves multiple purposes: it provides formal notice, outlines remaining obligations, specifies transition requirements, and creates a clear record of the termination process. A well-drafted Supplier Termination Letter helps minimize legal risks and maintains professional relationships even during the termination process.

1. Recipient Details and Date: Full company name, address, and date of the letter

2. Reference Line: Contract reference number, date, and title of the original agreement being terminated

3. Opening Statement: Professional greeting and reference to the agreement being terminated

4. Termination Notice: Clear statement of termination, citing relevant contract clause and effective date

5. Reason for Termination: Brief, professional explanation of termination reason if appropriate

6. Outstanding Obligations: Summary of any remaining payments, deliverables, or obligations

7. Return of Property: Instructions regarding return of any company property, documents, or materials

8. Confidentiality Reminder: Reminder of ongoing confidentiality obligations post-termination

9. Contact Information: Details of who to contact for transition-related matters

10. Closing: Professional closing statement, signature block, and company details