The Termination Of Building Contract Letter is a crucial document used in the Nigerian construction industry when one party needs to formally end a building contract. This document becomes necessary in various situations, including breach of contract, mutual agreement to terminate, force majeure events, or completion impossibility. It incorporates essential elements required by Nigerian law, including the National Building Code 2006 and state-specific construction regulations. The letter serves multiple purposes: it officially communicates the termination decision, outlines the legal basis for termination, details financial settlements, specifies handover procedures, and establishes post-termination obligations. This document is particularly important in the Nigerian context where formal documentation of construction contract termination is crucial for legal protection and potential dispute resolution.
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1. Letter Header: Complete business contact details of sender and recipient, date, and reference numbers
2. Contract Reference: Clear identification of the building contract being terminated, including project name, location, and original contract date
3. Formal Notice of Termination: Clear statement of termination and effective date
4. Basis for Termination: Reference to specific contract clause or legal basis enabling termination
5. Current Project Status: Brief overview of project completion status and key milestones achieved
6. Immediate Actions Required: List of immediate steps required from both parties including site security, handover of materials and documents
7. Financial Settlement: Overview of final payment details or payment termination process
8. Handover Requirements: Specific requirements for project documentation, materials, and site handover
9. Closing Statement: Professional closing including any notice periods and contact details for further communication
1. Dispute Resolution Process: Include when there are unresolved disputes or likely areas of contention
2. Contractor Performance Summary: Include when termination is due to contractor performance issues
3. Force Majeure Declaration: Include when termination is due to circumstances beyond either party's control
4. Subcontractor Arrangements: Include when there are active subcontractor relationships that need addressing
5. Environmental Compliance Status: Include when there are outstanding environmental obligations or concerns
6. Health and Safety Compliance: Include when there are ongoing safety obligations or incidents
7. Insurance Claims Status: Include when there are pending insurance claims or coverage issues
1. Schedule A - Financial Statement: Detailed breakdown of all outstanding payments, retentions, and claims
2. Schedule B - Project Completion Status: Detailed list of completed works, pending works, and percentage completion
3. Schedule C - Inventory of Materials: List of all materials on site, their condition and ownership status
4. Schedule D - Documentation Checklist: List of all project documents, drawings, and certificates to be handed over
5. Schedule E - Site Inspection Report: Current condition of the site and any immediate safety or security concerns
6. Appendix 1 - Photographic Evidence: Recent photographs of the project status and any relevant issues
7. Appendix 2 - Relevant Correspondence: Copies of key correspondence leading to termination decision
Authors
Relevant legal definitions
Clauses
Relevant Industries
Construction
Real Estate
Infrastructure Development
Commercial Property
Residential Development
Industrial Construction
Healthcare Construction
Educational Facilities
Government Infrastructure
Retail Development
Hospitality Construction
Mining Infrastructure
Relevant Teams
Legal
Construction
Project Management
Contract Administration
Property Development
Operations
Commercial
Risk Management
Procurement
Facilities Management
Site Operations
Quality Control
Relevant Roles
Project Manager
Construction Manager
Contract Administrator
Legal Counsel
Property Developer
Site Manager
Quantity Surveyor
Construction Director
Facilities Manager
Development Manager
Chief Operating Officer
Commercial Director
Real Estate Manager
Project Engineer
Construction Supervisor
Procurement Manager
Risk Manager
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