Writing a Contract Violation Letter (with Sample) Use this sample contract violation letter as a template for your formal notification. Last updated on January 18th, 2019
When a contract between two or more parties is signed, it means the signatories are legally bound to fulfill the terms of the contract. If one of the parties does not fulfill the terms, that party is in violation of the contract.
Being in violation of a contract is illegal as well as unprofessional, and the injured party can take legal action against the party in violation to enforce the terms of the contract or for other forms of compensation.
The first step is for the injured party to send a violation of contract letter to the other party that clearly states in detail how they are not fulfilling the terms of the contract. It is considered wise to try to work out the violation of contract in person before sending a formal notice letter. If an informal discussion can solve the problem, it will save both parties time and money. • The letter must be sent to the correct person who signed the contract, and it should be sent through the proper method.
• The date is very important because it is the official record of when the violating party was officially told of the violation. The date could be important if the dispute goes to court. • The violation should be described. This usually means clearly stating exactly what section of the contract was violated. There are usually three types of violations:
o One party does not pay or perform duties promised in the contract o One party says it will not perform its obligations in the future o One party makes it impossible for the other party to perform its obligations
• Either party may notify the other party of any type of violation, but courts pay the most attention to material violations. This means that the value of the contract has been destroyed by the violation. A non-material violation will not usually end the agreement.
• The letter should offer a solution to the violation. If it is too late to fix the problem, the violation notification letter will serve to cancel the agreement and seek damages. If applicable, the injured party can offer a period of time that the violating party can fix the violation.
For example, if the contract was for cleaning the winter debris in a large yard, and the contracted person did not do the job at the agreed-upon time, the injured party may offer an extended period of 30 days during which the violating party can clean the yard.
• The letter should have a professional tone and not contain angry of insulting language, even if the injured party is very upset that the contract was not honored. This letter may be the basis of court action, so it should be very business-like. The letter should stick to the facts and avoid expressing emotional injury.
• The letter should not threaten the violating party with a lawsuit. Intimidation is not a good business strategy and can backfire, resulting in an expensive lawsuit that the injured party did not want.
There are four basic responses an injured party may receive after sending a violation notice letter: • There may be no response to the letter. After waiting two weeks, it is recommended for the injured party to send a second letter that refers to the earlier letter with applicable dates. If there is no response to the second letter, the injured party may want to consult a lawyer and send a third letter on the lawyer’s letterhead.
• The violating party may respond that they are not in violation of the contract. The injured party should be careful how he or she responds in case the other party is correct.
• The violating party may request a meeting to discuss the situation. This may be a good way to resolve the issue, but it is recommended to have the help of a lawyer in arranging a solution.
• The violating party may agree that they are at fault. If this happens, the injured party needs to decide how to resolve the issue. Usually, a formal settlement agreement is signed. An attorney will be able to help with this.
Below is a sample violation of contract letter. It should be addressed to the person or company with whom the injured party holds the contract and sent according to the instructions specified in the contract for such letters.
Sample Contract Violation Letter Name of Injured Party Address of Injured Party City, State, Zip Code
Name of Violating Party Address of Violating Party City, State, Zip Code
Dear Name of Violating Party:
This letter is formal notice to discuss a violation by you in the contract you and I signed on DATE to clear the debris on the one-acre property at ADDRESS. According to the contract, you agreed to complete the project by DATE. However, one month later on DATE, the property has not been cleaned. I have enclosed photographs of the property taken yesterday on DATE.
Please contact me as soon as you receive this violation notice, so we can arrange to have the property cleaned as soon as possible. If I do not hear from you by DATE, I will pursue all legal remedies available.
Sincerely, Signature of Injured Party Printed Name of Injured Party List of Enclosures: photographs of property