Cancelling or changing contracts

Cancelling or changing contracts requires mutual consent of all parties and a document in which the changes can be recorded so that they remain binding in law. Although we can't provide a solution for the former, we do provide several alternatives for the latter, so you should be able to find one that meets your needs.

    Templates

    Mutual cancellation of contract agreement

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    This is a simple agreement, written in plain English, to cancel legal contract. It provides certainty that neither side remains bound.

    Variation of contract agreement

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    Use this agreement to make changes to another legal contract.

    Commonly, this agreement would be used where there has been an unforeseen change in circumstances (such as increases in the price of raw materials), or in purpose or objective of the contract.

    You might want to insert, delete and amend words, paragraphs and clauses, or renumber existing paragraphs.

    This document is suitable for varying any contract provided:

    • all parties to the original contract agree to the changes and sign this document
    • you are not trying to vary a last will and testament
    • you are not trying to change the parties to the contract (use a deed of novation instead)

    It can be used to vary the terms of an employment contract, but Net Lawman offers more tailored versions for this purpose.

    Variation of employment contract: letter to employee

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    These are five formal letters to your employee. Each varies a different term of an employment contract:

    • change of work location
    • change of work status
    • increase in pay
    • change of responsibilities
    • increase in annual leave

    For example, your business may need to relocate, or there may be changes in the law requiring you to increases an employee’s wage.

    The letters cover the most common reasons for variations, but of course they can be amended to suit other situations too.

    Use these letters to allow smooth and swift changes for your employees.

    Settlement agreement: goods and services

    This settlement and release agreement (often called a compromise agreement) is suitable where the supplier has delivered unsatisfactory (faulty or unsuitable) goods or services and has agreed to settle for a specified and reduced final payment.

    As drawn, it provides for either payment to be made by the customer and for the goods or services to remain with the customer, or for the supplier to remove the goods or services and for the customer to pay nothing. Either way, there is flexibility for both parties.

    This agreement effectively overwrites any previous agreement between the parties - whether written or verbal.

    This agreement is suitable between businesses only. If one of the parties is a consumer, statutory rights set down in the Sale of Goods Act 1979 and the Sale of Goods and Services Act 1982 take precedent over any agreement such as this.

    Both parties could be in the UK, or one could be abroad.

    CallTalk to us about terminating or varying a contract

    We are happy to answer any questions you have. Arrange for us to call you.

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    Written in plain English

    We avoid legal terminology unless necessary. Plain English makes our documents easy to understand, easy to edit and more likely to be accepted.

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    Guidance notes included

    You don’t need legal knowledge to use our documents. We explain what to edit and how in the guidance notes included at the end of the document.

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