Termination of Service Contract

By | February 19, 2015

A termination of service contract is the contract between a company and another contractor company or individual who has agreed to provide services to the company indicating the end of the services.

Sample Template for Free Download

This Agreement confirms the circumstances surrounding the termination of service of ………….. (name of the person or a company ) with a company , known as …………

  1. Termination Date

The agreement of services between …………… and ……………. will terminate effective ………….

  1. Notice

The period between (today’s date) and (date of termination ) is referred to in this agreement as the “notice period.” During the notice period, the status of the services will remain unchanged.

  1. Severance

The company will provide the individual or the other company with a lump sum payment equal to ……. base fee representing the severance and entitlement as prescribed under the Employment Standards Act, 2000. Payment will be made through the usual means as part of the ……. (date) pay cycle.

  1. Additional Payment [NOTE: Depending on the terms of the applicable employment contract, an additional amount may not be necessary or desired. Legal advice should be sought on this point]

The offer contained in Section 6 is conditional upon your agreement to keep the terms hereof strictly confidential. You may only disclose the terms of this offer to your immediate family members and your legal and financial advisors. Any unauthorized disclosure of the terms of this offer shall immediately terminate the offer.

  1. Expenses

The company will reimburse the other party for all reasonable business expenses incurred, up to and including (termination date), provided the appropriate forms and supporting original receipts are submitted no later than ….. days from this date.

  1. Record of Agreement

The Record of Agreement will be provided to you no later than five days of the last payment made  by the Company under the terms hereof.

  1. Change of Address

In the event that you change your address, please notify …………. (name) at ………. (phone) or via email at ……….. (mail id).

  1. Return of Company Property

Upon termination of the services, all the property of the company is to be returned and any such copies of materials are not allowed to be retained either.

  1. Release

Any additional payments (above the minimum statutory legislation) is conditional upon both the parties having signed, witnessed, dated and returned the attached copy of this letter and the Release form (Appendix “B”) to ….(name) by …… (date).

Both the parties hereby agree to this Termination of Services:

Signature of the company:

Signature of the individual or the required authority from the contractor company: