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Agency Termination Letter

Agency Termination Letter Template for Nigeria

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Key Requirements PROMPT example:

Agency Termination Letter

"I need an Agency Termination Letter under Nigerian law to end our relationship with a non-performing sales agent who has consistently missed targets for the past year, with termination to take effect from March 1, 2025."

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Document background
The Agency Termination Letter is a crucial document used in Nigerian business operations when a company needs to formally end a commercial agency relationship. It serves as an official record of termination and must comply with Nigerian commercial law, agency regulations, and the Companies and Allied Matters Act (CAMA) 2020. This document is typically used when a principal company wishes to end their relationship with an agent due to various reasons such as performance issues, strategic changes, or mutual agreement. The letter must include specific elements required by Nigerian law, such as proper notice periods, clear termination terms, and details about outstanding obligations. An Agency Termination Letter helps protect both parties' interests by clearly documenting the termination process and ensuring all legal requirements are met.
Suggested Sections

1. Letterhead and Date: Company letterhead with full contact details and current date

2. Recipient Details: Full name and address of the agent or agency being terminated

3. Reference Line: Reference to the original agency agreement including its date and any reference numbers

4. Subject Line: Clear indication that this is a termination notice

5. Notice of Termination: Clear statement of intention to terminate the agency agreement

6. Effective Date: Specific date when the termination takes effect, considering any notice period required by the original agreement

7. Reason for Termination: Brief explanation of the grounds for termination if applicable

8. Outstanding Obligations: Statement regarding any pending commissions, accounts, or obligations

9. Return of Materials: Request for return of any company property, materials, or confidential information

10. Closing and Signature: Professional closing, signature block with authorized signatory's details

Optional Sections

1. Transition Plan: Details of how ongoing business will be handled during the transition period - include when there are active clients or pending transactions

2. Non-Compete Reminder: Reference to any existing non-compete clauses - include if the original agreement contained such provisions

3. Legal Reservations: Statement reserving legal rights - include if there are disputes or potential claims

4. Acknowledgment Request: Request for written acknowledgment of receipt - include for important or high-value agency relationships

5. Post-Termination Obligations: Reminder of any continuing obligations - include if there are ongoing confidentiality or other post-termination duties

Suggested Schedules

1. Schedule A - Outstanding Commissions: Detailed list of any pending or outstanding commission payments

2. Schedule B - Company Property Inventory: List of all company property, materials, or documents to be returned

3. Schedule C - Ongoing Transactions: List of any ongoing transactions or clients that need to be transferred or concluded

4. Appendix 1 - Original Agency Agreement: Copy of the original agency agreement being terminated

5. Appendix 2 - Performance Records: Relevant performance records or documentation if termination is performance-based

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈË°æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co
Relevant legal definitions




















Clauses



















Relevant Industries

Retail

Manufacturing

Import/Export

Real Estate

Insurance

Financial Services

Technology

Telecommunications

Consumer Goods

Pharmaceutical

Automotive

Agriculture

Energy

Construction

Professional Services

Relevant Teams

Legal

Compliance

Sales Operations

Business Development

Commercial Operations

Risk Management

Corporate Secretariat

Contract Administration

Channel Management

Agency Relations

Relevant Roles

Chief Executive Officer

Managing Director

Commercial Director

Sales Director

Business Development Manager

Legal Counsel

Compliance Officer

Contract Manager

Operations Manager

Regional Manager

Channel Manager

Agency Relations Manager

Sales Operations Manager

Corporate Secretary

Risk Manager

Industries





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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