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Declination Letter Template for Canada

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Key Requirements PROMPT example:

Declination Letter

"I need a Declination Letter to respond to a software development vendor's proposal received on January 15, 2025, ensuring we maintain a professional relationship while clearly explaining that their pricing exceeded our budget expectations."

Document background
The Declination Letter is a critical business communication tool used across Canadian jurisdictions to formally reject proposals, applications, or requests while maintaining professional relationships and minimizing legal risks. It finds application in various scenarios including job application responses, business proposal rejections, vendor selection processes, and internal request denials. The document must comply with Canadian federal and provincial legislation, including privacy laws (PIPEDA), human rights legislation, and official language requirements where applicable. A well-crafted Declination Letter should balance clarity and diplomacy while protecting the organization's interests and maintaining good business relationships. It typically includes acknowledgment of the submission, a clear statement of declination, a brief explanation, and appropriate closing remarks.
Suggested Sections

1. Letterhead and Date: Company letterhead with full contact information and current date

2. Recipient Information: Full name, title, and address of the recipient

3. Reference Line: Clear reference to the original application, proposal, or request

4. Salutation: Professional greeting addressing the recipient appropriately

5. Acknowledgment: Recognition of the received proposal/application and expression of appreciation

6. Declination Statement: Clear and direct statement of declination

7. Brief Explanation: Concise, professional explanation for the declination without oversharing details

8. Professional Closing: Courteous closing statement maintaining good relations

9. Signature Block: Full name, title, and contact information of the sender

Optional Sections

1. Alternative Suggestions: Include when there are other opportunities or alternatives to suggest to the recipient

2. Future Opportunities: Include when encouraging the recipient to apply/submit proposals in the future

3. Feedback Section: Include when constructive feedback is appropriate and requested, particularly in employment contexts

4. Confidentiality Statement: Include when sensitive information is referenced in the letter

5. Return of Materials: Include when physical materials or confidential documents need to be returned

6. Legal Disclaimers: Include when legal protection is needed regarding the decision-making process

Suggested Schedules

1. Return of Materials Form: Optional form for tracking return of physical materials or confidential documents

2. Summary of Decision Factors: Optional detailed explanation of decision criteria, if required for compliance or transparency purposes

Authors

Alex Denne

Head of Growth (Open Source Law) @ ¶¶Òõ¶ÌÊÓÆµ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions















Clauses















Relevant Industries

Financial Services

Healthcare

Technology

Manufacturing

Professional Services

Education

Government

Retail

Construction

Non-profit

Telecommunications

Legal Services

Insurance

Real Estate

Consulting

Relevant Teams

Human Resources

Legal

Procurement

Business Development

Operations

Administration

Executive Leadership

Recruitment

Contract Management

Project Management

Compliance

Risk Management

Relevant Roles

Human Resources Manager

Hiring Manager

Procurement Manager

Business Development Director

Legal Counsel

Department Director

Chief Executive Officer

Recruitment Specialist

Contract Manager

Project Manager

Operations Manager

Administrative Director

General Counsel

Vice President

Chief Financial Officer

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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