DIPLOMATIC / BREAK CLAUSE Clause Samples

A Diplomatic or Break Clause allows either party in a contract, typically a lease, to terminate the agreement early under specified conditions. This clause usually sets out a minimum notice period and may require certain criteria to be met, such as a minimum term elapsed or a formal written notice. Its core practical function is to provide flexibility, enabling parties to exit the contract without penalty if circumstances change, thereby reducing long-term risk and commitment.
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DIPLOMATIC / BREAK CLAUSE. ⃝ Applicable ⃝ Not Applicable If at any time after the expiration of [ ] months from the date of the commencement of this tenancy, (FIN: ) shall be transferred out of the Republic of Singapore permanently by his firm, ceased to be employed by the Tenant or if for any cause whatsoever he shall be ordered to leave the Republic of Singapore, then and in such a case, it shall be lawful for the Tenant to determine this tenancy by giving not less than [ ] months’ notice or paying [ ] months’ rent in lieu of such notice. Such notice shall be served on the Landlord together with documentary evidence of such transfer, cessation of employment or any other evidence. Such notice served on the Landlord shall be in compliance with Clause 11 of the Operative Part.