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Here, the owner of a catering service gives notice to her supplier that she plans to terminate the contract between the two businesses in 60 days. A termination letter for Vendor is written for vendors to get their materials and supplies for manufacturing products or offering services.Do you need to terminate a business relationship with a vendor? No one wants a verbal conflict nor an ugly court battle. Not all contracts end in disappointment or disagreement. The purchaser did not complete the purchase within the time allowed for in the rescission notice. As a result, the contract was rescinded. Want to use this letter? In the absence of a formal contract, it is still advisable to give notice of termination in a formal written document or letter. Stock. I am canceling the contract because I will no longer need your services.