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Counter Offer Decline Letter

Counter Offer Decline Letter Template for India

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Key Requirements PROMPT example:

Counter Offer Decline Letter

"I need to draft a Counter Offer Decline Letter to politely reject a supplier's modified payment terms for our software maintenance contract, while keeping the door open for future business opportunities."

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Document background
The Counter Offer Decline Letter is a crucial document in Indian business negotiations, used when an original offeror wishes to formally reject terms proposed in a counter offer. This document is particularly important in the Indian legal context, where the Indian Contract Act, 1872 governs the formation and negotiation of contracts. The letter should be used when a party receives a counter offer with modified terms and decides not to accept these modifications. It typically includes reference to the original offer, acknowledgment of the counter offer received, clear communication of the decline decision, and may optionally include reasons for declining or alternative proposals. The document serves both legal and business purposes: it clearly terminates the current negotiation cycle while potentially maintaining professional relationships for future business opportunities.
Suggested Sections

1. Letter Header: Include sender's details, recipient's details, date, and reference numbers of previous communications

2. Subject Line: Clear reference to the counter offer being declined and any relevant contract/proposal numbers

3. Opening Salutation: Professional greeting to the recipient

4. Reference Context: Brief mention of the original offer and subsequent counter offer, including relevant dates

5. Decline Statement: Clear and polite statement declining the counter offer

6. Closing Remarks: Professional closing that maintains good business relationships

7. Signature Block: Sender's name, title, and contact information

Optional Sections

1. Reason for Decline: Brief explanation of why the counter offer is being declined - include when transparency would benefit the business relationship

2. Alternative Proposal: Any alternative terms or suggestions - include when there's interest in continuing negotiations

3. Future Business: Statement about openness to future opportunities - include when wanting to maintain a positive relationship for future dealings

4. Acknowledgment of Effort: Recognition of time and effort spent in negotiations - include for maintaining professional courtesy in significant dealings

Suggested Schedules

1. Original Offer Reference: Copy of the original offer terms - attach when needed for clear record-keeping

2. Counter Offer Summary: Summary of the counter offer being declined - attach when dealing with complex negotiations

3. Communication History: Timeline of relevant communications - attach when documentation is important for record-keeping

Authors

Alex Denne

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

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Relevant Industries

Real Estate

Manufacturing

Information Technology

Professional Services

Retail

Construction

Financial Services

Healthcare

Education

Telecommunications

Logistics

Consulting

Legal Services

Human Resources

Relevant Teams

Legal

Procurement

Business Development

Sales

Operations

Contract Administration

Commercial

Executive Leadership

Finance

Human Resources

Relevant Roles

Business Development Manager

Contract Manager

Procurement Manager

Legal Counsel

Chief Executive Officer

Managing Director

Operations Manager

Sales Director

General Manager

Commercial Manager

Project Manager

Human Resources Manager

Finance Director

Department Head

Regional Manager

Industries
Indian Contract Act, 1872: The fundamental law governing contracts in India, which defines offers, counter-offers, and their acceptance or rejection. Sections 2(a), 2(b), and 5 are particularly relevant for offer and acceptance principles.
Information Technology Act, 2000: Governs electronic communications and records, relevant if the counter offer decline letter is to be sent electronically, ensuring its legal validity.
Indian Evidence Act, 1872: Relevant for ensuring the letter can serve as valid documentary evidence of the declined counter-offer if needed in future legal proceedings.
Registration Act, 1908: While not directly applicable to the letter itself, it's important to consider if the original contract being negotiated would require registration, affecting how the decline should be formatted.
General Clauses Act, 1897: Provides rules for interpretation of communications and documents, relevant for ensuring clear and unambiguous language in the decline letter.
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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