Instructions: how to write an application for termination of a service agreement

On what basis are they asking for termination of the contract?

In accordance with the provisions of Art. 782 of the Civil Code, both the customer and the contractor have the right to terminate the relationship early. Wherein:

• if the initiative comes from the customer, he is obliged to pay the contractor for the costs incurred. If the contractor did not have time to incur any expenses, the customer simply submits an application to refuse services, and the parties part ways;
• if the initiative of the contractor, he is obliged to compensate the customer for losses, if any.

The law does not establish a specific list of cases in which the parties have the right to initiate termination of relations; for example, the following reasons are allowed:

• the customer no longer needs the services provided by the contractor;
• the customer is not satisfied with the quality or speed of the contractor’s work;
• The contractor is not satisfied with the delays in payment that the customer allows.

Explanations on the topic

About the author of this article

Dmitry Sidaev Higher and specialized education in procurement: KhSUEP, diploma with honors in the specialty “Jurisprudence” and GAPM named after. N.P. Pastukhova, diploma with honors in the program “Procurement Management”. Author and ideological inspirer of the projects “GoodWin Project: Tenders made simple” and “Antidote 44-FZ: a cure for headaches in procurement.” Trains in procurement under 44-FZ, advises suppliers and customers, works as a guest manager of the tender department. Invited expert in many projects on public procurement.

Other publications by the author

• 2021.12.27223-FZ Non-competitive procurement from SMEs under 223-FZ will be carried out in the form of an electronic store
• 2021.12.27EISNew registration procedure in the EIS for customers
• 2021.12.23223-FZMemo to government purchasers: what needs to be done in December under 44-FZ and 223-FZ
• 2021.12.20 State Defense Order Changed the provision on the approximate terms of contracts for state defense orders

How to write an application

There are no strict legal requirements for how to write a statement of termination of a contract. The main thing is that its text contains all the important information necessary to end the relationship.

The text of the appeal consists of three semantic blocks:

• headers indicating the names and addresses of the parties to the relationship;
• the main part, where the details of the contract to be terminated are stated, its subject - what services are provided, the applicant’s desire to terminate the relationship and the date of the proposed termination. If necessary, the reasons for refusing further cooperation are also indicated here;
• the final part includes the demands put forward by the applicant: to terminate the agreement, as well as, if necessary, additional demands, for example, to return the advance payment previously paid or to compensate for losses incurred.

The text ends with a list of attachments, if any, and the signature of the applicant.

Here is an example of a sample application for termination of a contract for the provision of telephone services:

Form:

Features of drawing up an application

Now there is no generally applicable, standard application form, so you can write it in free form, based on your own vision of this document. The main thing when preparing it is to ensure that the sequence of its contents meets certain standards for drawing up business documentation.

The document should be roughly divided into three parts:

1. beginning - information about the addressee and applicant;
2. the main section is a request to terminate the application, as well as information about the contract and the reasons for its termination;
3. conclusion - a list of attached documents and a signature.

There are no special criteria for the design of the document, just like for its content, i.e. The application may be written manually or typed on a computer. For a printed document, an ordinary blank piece of paper of any convenient format is suitable (A4 or A5 are mainly used).

It is recommended to write the application in two identical copies , one of which should be given to the representative of the organization providing services under the contract, the second should be kept with you, having previously secured a mark on it that the contractor has received a copy.

How to send it to the performer

The request should be sent to the counterparty in a way that will later confirm receipt of the request:

• hand over personally to the representative of the counterparty, in this case, on a second, identical copy, which remains with the applicant, obtain the signature of the accepting representative as confirmation of the transfer of the application;
• send by registered mail with return receipt requested;
• use the electronic document management system, if it is provided for in the agreement and allows you to confirm the fact of sending and receiving requests between counterparties.

Financial implications

When the parties terminate the relationship and challenge the transaction in court, it is fundamentally important to understand in what capacity the funds were contributed under the agreement and whether they were contributed at all. The consequences of returning the money will depend on this.

• If the original contract provided for and paid an advance, which is a preliminary method of payment, and the transaction did not take place, then the money must be returned without fail, regardless of whose fault the main contract was not concluded.
• If the original agreement provided for and paid a deposit, which is a way to secure the obligation, then if the deal fails, the consequences for the participants will be different. If the party who gave the deposit withdraws from the contract, the deposit is not returned. If the seller refuses the contract, he is obliged to return double the amount of money to the buyer.
• If the text of the preliminary purchase and sale document did not contain conditions for the payment of money, but they were transferred to the seller, then bank statements and witness statements may become evidence in court, and the money can be returned.

The conclusion of a preliminary agreement does not mean that the main transaction will take place. If better options arise or difficult situations arise, sometimes even beyond the control of the parties, the contract can be terminated. But the participant taking action to terminate the relationship must act reasonably and in good faith so that there are no negative consequences for the other participant in the transaction.

What to do next

Subsequent actions of the parties depend on the terms of cooperation and the nature of their relationship. The ideal option is to enter into a termination agreement. But it is not always required: the text of the initial agreement often stipulates that the moment the counterparty receives a notice of termination, the relationship is terminated without any agreement.

In some cases, after sending and receiving a written request - an application to terminate the contract - the parties need to fulfill final obligations to each other, for example, to reimburse incurred expenses or losses. The procedure for carrying out these actions is either described in the original document or agreed upon additionally.

If the parties have no obligations to each other, and the termination of the relationship occurs when the other party receives a statement of refusal of services, the relationship is terminated without any additional actions.

Legal grounds

The contract can be terminated on the following grounds:

1. By mutual agreement of the parties - when the parties to the transaction made a mutual decision to terminate it, including for personal reasons and reasons. For example, loss of funds, relocation, disruption of some events, force majeure. (Clause 1 of Article 450 of the Civil Code of the Russian Federation).
2. At the initiative of one party – terminated in this case by a court decision (clause 2 of Article 450 of the Civil Code of the Russian Federation) if:
   The terms of the deal were significantly violated. For example, failure to fulfill one of the conditions on time, non-payment, discovery of defects in real estate after signing the contract, seizure of property at the claim of third parties.
3. The possibility of cancellation of the transaction was provided for in the preliminary purchase and sale document.

When to go to court

Going to court is necessary when a controversial situation arises when one party does not fulfill its obligations and violates the rights of the other party, for example:

• the contractor refuses to return the advance payment made earlier;
• the contractor incurred costs, but the customer refuses to reimburse them.

To make your complaint to the court more convincing and help solve the problem, study court decisions on similar cases. The database of judicial practice in ConsultantPlus will help you find them (get free access to it by clicking on the link below). The database contains decisions of all Russian courts, and the search is as simple as in Yandex. Be sure to refer in the text of the appeal to those cases that the court decided “in your” favor.

to read.

Sample notification

Standard template:

Filling example:

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