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What is important to include in an amendment letter?

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Quick Answer

Important terms to include in a contract amendment are the name of the contract, the parties involved and the date the amendment takes effect, explains RocketLawyer. Amendments should also describe the change and identify the section of the contract to which the change applies. Amendments can modify, add or delete contract provisions.

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Full Answer

Contract amendments may use the same look and feel as the original contract, indicates Nolo. Most contracts require amendments to be in writing. Letter amendments and contract amendments both satisfy this requirement, though letters are less formal. Regardless of the approach, contracts usually mandate that both parties sign amendments in order for them to take effect.

Parties to a contract may present amendments in three ways, according to Nolo. The parties may mark up the original text with underlining for new language and strikethroughs for deletions to show the desired modifications. Alternatively, the parties can replace an existing provision with a new one that contains the agreed-upon language. Another approach is to describe the specific additions and deletions to the original contract. The parties may also combine approaches, provided that amendment is unambiguous to the contract parties and potential third parties who may review the contract in the future.

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