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The Lease Cancellation Letter is a crucial document in Pakistani property law, used when either the landlord or tenant wishes to formally terminate an existing lease agreement before its natural expiration, or to document a mutually agreed early termination. This document must comply with the Transfer of Property Act 1882, the Contract Act 1872, and relevant provincial Rent Control Acts. The letter typically includes essential information such as property details, original lease reference, termination date, handover arrangements, and settlement terms. A properly drafted Lease Cancellation Letter helps protect both parties' interests and provides clear documentation of the lease termination agreement, which can be important for legal and record-keeping purposes. It's particularly relevant in situations where there's a need to formally document the early termination of a lease and establish clear terms for the conclusion of the landlord-tenant relationship.

1. Date and Address Block: Current date and full addresses of both landlord and tenant

2. Subject Line: Clear indication that this is a lease cancellation notice

3. Lease Reference: Details of the original lease including date, property address, and any reference numbers

4. Cancellation Statement: Clear statement of intent to cancel the lease and the effective date

5. Key Handover: Arrangements for returning keys and property inspection

6. Final Settlement: Details of final rent payment and utility bills

7. Closure: Professional closing with signatures of both parties