Document background
The Release of Contract Letter is a crucial legal document used when parties wish to formally terminate their contractual relationship by mutual agreement. Under Dutch law, this document serves as official evidence that both parties have agreed to end their contractual obligations and release each other from future responsibilities. The letter should be used when there is a clear mutual understanding to terminate a contract before its natural expiration, or when parties want to document the formal end of a contract that has been fulfilled. It typically includes reference to the original contract, termination date, confirmation of any final settlements, and mutual releases from future obligations. The Release of Contract Letter must comply with Dutch Civil Code provisions, particularly those relating to contract termination and release agreements (kwijtschelding). This document is especially important in business relationships where a clear record of contract termination and mutual release is necessary for legal certainty and future reference.
