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Termination Of Supplier Contract for Nigeria

Termination Of Supplier Contract Template for Nigeria

This document is a comprehensive termination agreement for supplier contracts governed by Nigerian law. It outlines the terms and conditions for ending a supplier relationship, including final settlements, handover requirements, and post-termination obligations. The agreement complies with Nigerian Contract Law and relevant commercial regulations, incorporating provisions for property return, confidentiality maintenance, and dispute resolution. It provides a structured framework for both parties to formally conclude their business relationship while protecting their respective interests under Nigerian jurisdiction.

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Termination Of Supplier Contract

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What is a Termination Of Supplier Contract?

The Termination Of Supplier Contract is a crucial legal document used when a company needs to formally end a commercial relationship with a supplier in Nigeria. It's typically employed when either party wishes to terminate an existing supply agreement, whether due to breach, mutual agreement, or strategic business changes. This document ensures compliance with Nigerian commercial law while protecting both parties' interests during the termination process. It addresses key aspects such as final payments, asset returns, transition arrangements, and ongoing obligations. The agreement is particularly important in the Nigerian business context, where clear documentation of commercial relationships' conclusion is essential for legal certainty and risk management. It should be tailored to reflect specific industry requirements, regulatory compliance needs, and the nature of the supplied goods or services.

What sections should be included in a Termination Of Supplier Contract?

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

2. Background: Reference to the original supplier agreement, its date, and brief context of the business relationship

3. Definitions: Key terms used in the termination agreement, including references to defined terms from the original agreement that remain relevant

4. Termination Date: Clear specification of when the termination takes effect and any phased termination arrangements

5. Grounds for Termination: Specific legal basis for termination, whether by mutual agreement, breach, or as per original contract terms

6. Outstanding Obligations: Details of any remaining payments, deliveries, or services to be completed before termination

7. Return of Property: Requirements for return of any company property, materials, or equipment

8. Post-Termination Obligations: Ongoing obligations that survive termination, such as confidentiality and non-compete provisions

9. Final Settlement: Terms of final payment and settlement of accounts between the parties

10. Release and Waiver: Mutual release of claims and liabilities between parties

11. Governing Law: Confirmation of Nigerian law as governing law and jurisdiction

12. Execution: Signature blocks and execution requirements

What sections are optional to include in a Termination Of Supplier Contract?

1. Intellectual Property Rights: Required when the supplier relationship involved creation or use of intellectual property, detailing ownership and usage rights post-termination

2. Transition Assistance: Needed when the terminated supplier must assist in transitioning to a new supplier

3. International Trade Provisions: Required for cross-border supplier relationships, addressing import/export obligations

4. Data Protection: Necessary when personal data or sensitive information was processed during the supplier relationship

5. Employee Matters: Required when termination affects employed staff or contracted workers

6. Insurance and Indemnity: Needed when specific insurance obligations or indemnification provisions continue post-termination

7. Dispute Resolution: Optional detailed dispute resolution procedures beyond standard governing law provisions

What schedules should be included in a Termination Of Supplier Contract?

1. Schedule 1 - Outstanding Payments: Detailed list of all pending payments, including amounts, due dates, and payment terms

2. Schedule 2 - Inventory and Assets: List of any inventory, assets, or materials to be returned or disposed of

3. Schedule 3 - Transition Plan: Detailed timeline and steps for transitioning services or supplies to alternative providers

4. Schedule 4 - Continuing Obligations: Specific ongoing obligations and their duration post-termination

5. Schedule 5 - Settlement Statement: Detailed financial statement showing final settlement calculations

6. Appendix A - Original Contract Reference: Copy or key excerpts of the original supplier contract being terminated

7. Appendix B - Handover Documents: Templates and forms for property return and service handover

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Nigeria

Cost

Free to use
Relevant legal definitions
































Clauses


































Relevant Industries

Manufacturing

Retail

Technology

Energy

Construction

Healthcare

Agriculture

Telecommunications

Financial Services

Mining

Transportation

FMCG

Pharmaceuticals

Industrial Services

Relevant Teams

Procurement

Legal

Finance

Operations

Supply Chain

Compliance

Risk Management

Commercial

Vendor Management

Contract Administration

Relevant Roles

Procurement Manager

Supply Chain Director

Legal Counsel

Contract Manager

Chief Financial Officer

Operations Director

Purchasing Officer

Vendor Relations Manager

Commercial Director

Risk Manager

Compliance Officer

General Counsel

Chief Operations Officer

Finance Manager

Supply Chain Manager

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, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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