This letter can be used to let your vendor know that you are dissatisfied by his poor services like delayed/irregular supplies and hence are terminating your contract with him. The date from which the termination comes into existence is mentioned along with the request for co-ordination for the final settlements. Here is a good sample for vendor termination letter andyou can follow this as well.
M/S Twain Con Hospital
#741, 8th main, Gavipuram Extension
20th January, 2010
Mr Azam Khan
County Mineral Water Co.
Sub: Termination of your Vendor Contract for supply of water.
Ref: Our Vendor Contract dated 20th October, 2009.
We would like to inform you that our contract with you mentioned above in “Ref” for the supply of bottled mineral water stands terminated owing to delayed and irregular supplies by your establishment. Our whole busines process is suffering due to this reason.
The vendor contract comes to a closure from 20th February 2010 onwards. We request you to co-ordinate with the bill settlements, if any, with us, within 10th February 2010.
Twain Con Hospital