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The Cancellation Letter To Vendor is an essential business document used in the Indonesian market when a company needs to formally terminate its relationship with a supplier or service provider. This document is particularly important in the Indonesian business context, where formal written communication is crucial for legal validity and business records. The letter must comply with Indonesian contract law, specifically the Civil Code (KUH Perdata), and should be drafted to maintain professional relationships while clearly communicating the termination decision. It typically includes reference to the original agreement, reason for cancellation, effective date, and any closing procedures. This document is commonly used when services are no longer required, when changing vendors, or when addressing performance issues, and serves as a crucial legal record of the contract termination.

1. Letterhead and Date: Company letterhead with complete business details and current date

2. Recipient Details: Complete vendor information including company name, address, and contact person

3. Reference Line: Reference to the original contract/agreement number and date

4. Subject Line: Clear indication that this is a contract/service cancellation notice

5. Opening Statement: Formal greeting and clear statement of the letter's purpose

6. Contract Details: Specific details of the contract being cancelled including date of original agreement and key terms

7. Reason for Cancellation: Brief, professional explanation of the cancellation reason

8. Effective Date: Clear statement of when the cancellation takes effect

9. Final Instructions: Details regarding final payments, return of materials, or other closing procedures

10. Closing: Professional closing with contact information for further communication