The Rental Contract Cancellation Letter is a crucial document used in Saudi Arabia when either a tenant or landlord wishes to formally terminate a rental agreement. It serves as official documentation of the intention to end the lease and must comply with both Saudi Tenancy Law and Islamic Shariah principles. The document is essential in both residential and commercial contexts, requiring specific notice periods (typically 60 days for residential and 180 days for commercial properties, unless otherwise specified in the original contract). The letter should include clear reference to the original rental agreement, property details, intended termination date, and arrangements for final settlements and property handover. It may need to be submitted to local authorities or the Real Estate General Authority (REGA) as part of the formal termination process.
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1. Header and Date: Formal letter header including sender's details, recipient's details, and date in both Gregorian and Hijri calendars
2. Subject Line: Clear indication that this is a rental contract cancellation notice
3. Property Details: Full address and description of the rented property as stated in the original contract
4. Contract Reference: Details of the original rental agreement including date of execution and contract number
5. Cancellation Declaration: Clear statement of intention to cancel the rental agreement and the desired effective date
6. Notice Period Confirmation: Confirmation that the notice period required under Saudi law and the original contract is being observed
7. Final Settlement Terms: Statement regarding final rent payment and any outstanding amounts
8. Property Handover: Proposed date and process for property inspection and key handover
9. Closure: Formal closing, signature block, and contact information
1. Security Deposit: Details of security deposit return process, to be included if a security deposit was paid
2. Utility Accounts: Instructions regarding transfer or closure of utility accounts, if applicable
3. Maintenance Issues: Description of any pending maintenance issues or repairs, if applicable
4. Forwarding Address: New address for future correspondence, if needed
5. Early Termination Justification: Explanation of reasons if cancellation is before the contract end date
6. Third Party Notifications: Reference to any required notifications to building management or authorities
1. Settlement Statement: Detailed breakdown of all financial settlements including rent, utilities, and other charges
2. Property Condition Report: Current condition of the property and any damage assessment
3. Utility Readings: Final readings for electricity, water, and other utilities
4. Handover Checklist: List of items to be checked during final inspection and handover
5. Outstanding Maintenance Log: List of any pending maintenance issues to be resolved before handover
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