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Termination Of Supplier Contract

Termination Of Supplier Contract Template for New Zealand

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Key Requirements PROMPT example:

Termination Of Supplier Contract

"I need a Termination of Supplier Contract for ending our IT services agreement with TechPro Solutions Ltd, effective March 1, 2025, with a 60-day transition period to ensure smooth handover of ongoing projects and data migration to our new supplier."

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Document background
The Termination Of Supplier Contract is essential for businesses operating in New Zealand who need to formally end their supplier relationships in a legally compliant manner. This document is typically used when a company needs to terminate an existing supply agreement, whether due to contract expiration, performance issues, strategic changes, or mutual agreement. It incorporates requirements under New Zealand contract law, including the Contract and Commercial Law Act 2017 and Fair Trading Act 1986, ensuring proper handling of termination notices, outstanding obligations, intellectual property rights, and confidentiality matters. The document is particularly important for maintaining clear records of the termination process and protecting both parties' interests during and after the termination period.
Suggested Sections

1. Parties: Identification of the supplier and the company terminating the contract, including full legal names and registered addresses

2. Background: Brief context about the original contract, its date, and general nature of the supply relationship

3. Definitions: Key terms used in the termination agreement, including references to the original contract

4. Termination Notice: Formal declaration of contract termination, citing relevant clause from original contract and effective termination date

5. Outstanding Obligations: Statement of any remaining deliverables, payments, or obligations that must be fulfilled before or after termination

6. Payment Provisions: Details of final payments, including any pro-rata calculations, refunds, or termination fees

7. Return of Property: Requirements for returning any company property, documents, or materials

8. Intellectual Property Rights: Clarification of IP ownership and usage rights post-termination

9. Confidentiality: Confirmation that confidentiality obligations survive termination

10. General Provisions: Standard clauses including governing law, entire agreement, and counterparts

Optional Sections

1. Transition Arrangements: Include when there needs to be a handover period or transition to a new supplier

2. Employee/Contractor Transfer: Include when there are staff or contractor transfer considerations

3. Mutual Release: Include when both parties agree to release each other from future claims

4. Non-Compete Obligations: Include when existing non-compete clauses need to be addressed or modified

5. Dispute Resolution: Include when specific dispute resolution procedures are needed for termination-related issues

6. Data Handling: Include when the supplier has accessed or stored company data during the contract

7. Warranty Obligations: Include when there are ongoing warranty obligations that survive termination

Suggested Schedules

1. Schedule 1 - Outstanding Deliverables: Detailed list of any remaining work to be completed

2. Schedule 2 - Payment Schedule: Breakdown of final payments, including timing and amounts

3. Schedule 3 - Company Property Register: Inventory of all company property to be returned

4. Schedule 4 - Transition Plan: Detailed timeline and responsibilities for transition activities

5. Appendix A - Original Contract Reference: Copy or reference to relevant sections of the original contract

6. Appendix B - Settlement Calculation: Detailed calculations for any final settlements or adjustments

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

Manufacturing

Technology

Retail

Professional Services

Construction

Healthcare

Financial Services

Transportation and Logistics

Energy and Utilities

Telecommunications

Agriculture

Mining and Resources

Education

Hospitality

Relevant Teams

Legal

Procurement

Supply Chain

Operations

Finance

Risk and Compliance

Commercial

Vendor Management

Administration

Contract Management

Relevant Roles

Procurement Manager

Supply Chain Manager

Contract Manager

Legal Counsel

Commercial Manager

Operations Director

Chief Financial Officer

Purchasing Officer

Vendor Manager

Business Unit Manager

Risk Manager

Compliance Officer

General Manager

Chief Operations Officer

Company Secretary

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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