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The primary purpose of this letter is to make a formal written request to a party to an existing contract to extend or renew the term of the contract.
Sometimes, extension or renewal of contract may be agreed over verbal communication with the other party to the contract, but, it is always better to put the request in writing (even if verbal approval has already been provided) to avoid any disputes in the future.
This letter can be used to extend or renew the period of any type of contract between individual or diverse types of organizations/companies. This document can be used in case of an initial request or following up on the verbal communication with the other party.
This letter removes the need to enter into a new contract altogether and thereby reduces a lot of time and resources. For renewal of the contract, the parties just need to make minor modifications to the existing contract and execute it without any further complications or delay.
How to use this document?
The period of a contract is extended when a clause under the existing contract allows the same or both the parties agree to extend the period without any changes to the contract. A contract is said to be renewed when the parties enter into a new contract with similar terms to the existing contract.
The letter covers the major areas including the details of the party, details of the existing contract, clauses in the existing contract denoting the renewal or extension, amendments or additions to the existing contract, communication details, etc.
This letter can be printed, signed, and directly handed over to the other party or sent through a registered post. This letter can also be sent as an email attachment.
The transactions related to a contract will be covered under the Indian Contract Act, 1872.
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Other names for the document: Letter Requesting Extension of a Contract, Contract extension letter, Extension of contract period request, Agreement extension letter, Contract renewal letter