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The Business Partner Termination Letter is a crucial document used when a company needs to formally end a business partnership in Indonesia. It must comply with Indonesian Civil Code (KUHPerdata) requirements and relevant business regulations, particularly Law No. 40 of 2007 on Limited Liability Companies. This document is typically used when partnerships need to be dissolved due to strategic changes, performance issues, or mutual agreement. It includes essential elements such as termination grounds, effective date, transition arrangements, and final settlement terms. The letter serves both legal and business purposes: it provides formal notice as required by Indonesian law while maintaining professional relationships and ensuring clear communication of termination terms. Understanding local business customs and legal requirements is crucial, as Indonesian business law combines civil law traditions with local business practices.

1. Letter Header: Complete business details of both parties, date, and reference number

2. Addressee Details: Full name, title, and address of the recipient

3. Subject Line: Clear indication that this is a partnership termination notice

4. Reference to Partnership Agreement: Details of the original partnership agreement including date and reference number

5. Termination Statement: Clear and unambiguous statement of intent to terminate the partnership

6. Termination Effective Date: Specific date when the termination becomes effective, considering notice period requirements

7. Reason for Termination: Brief, professional explanation of the grounds for termination

8. Transition Arrangements: Overview of how ongoing matters will be handled during the transition period

9. Final Settlement Terms: Summary of any final payments, accounts, or settlements required

10. Closing Statement: Professional closing with acknowledgment of past partnership

11. Signature Block: Full signature details including name, title, and company stamp