A letter of undertaking is an assurance one party gives to another that they will fulfil a previously agreed-upon but unwritten obligation. For example, if one party wishes to complete some work for a business and be compensated for it, the individual would send the business a letter of undertaking outlining their intentions.
A letter of undertaking is also used in real estate transactions and other situations where one party wishes to limit potential losses. For example, a property buyer’s bank may request a LOU from the seller, assuring them that any money released to the seller will be returned to the bank if the legal transfers fail. This is used because the bank has no explicit contract with the seller.
In many other situations, undertaking letters formally state one’s intentions.
What is a Letter of Undertaking?
A Letter of Undertaking is a written assurance expressing the intent to fulfil previously agreed-upon obligations. It serves as a tangible commitment when a formal contract is lacking.
Who Should Write a Letter of Undertaking?
Letters of Undertaking can be penned by individuals, parents, spiritual leaders, traditional rulers, or attorneys. This flexibility allows for various applications, from academic admissions to legal agreements.
Reasons for Writing a Letter of Undertaking
The diverse scenarios that warrant a Letter of Undertaking include admission commitments, debt repayment, ensuring good conduct, addressing misconduct, facilitating loans, confirming employment terms, settling school fees, and obtaining building permits.
How to Write a Letter of Undertaking
Writing a Letter of Undertaking involves a structured approach:
- Formal Introduction: Begin with a formal introduction, including your name, affiliation, and purpose for writing.
- Body of the Letter: Clearly state your intentions and include any necessary information related to the undertaking.
- Complementary Close: End the letter with a complementary close such as “Yours faithfully” followed by your signature and full name.
- Cross-Check and Save: Ensure the letter aligns with your intentions before submission. Make photocopies or save it in PDF format for future reference.
Formats of Undertaking Letters for Jobs
Format 1
Subject: Undertaking
I hereby confirm that I will abide by the rules in my appointment letter and provide accurate information. I am ready to furnish any additional information if required.
Signature & Thumb impression of the Employee
Format 2
Undertaking Letter by Employee
Dear Sir,
I, [Your Name], undertake the position of a substitute teacher at [School Name] from [Start Date] to [End Date]. I agree to the specified terms and conditions, understanding that any breach may lead to termination.
Yours faithfully, [Your Signature]
Writing an Engaging Undertaking Letter for Admission
When writing an undertaking letter for academic admissions:
- Clearly state your admission details.
- Express commitment to adhere to the institution’s rules and regulations.
- Emphasize your dedication to maintaining good conduct throughout your academic journey.
Ensuring Financial Responsibility in a Letter of Undertaking
When the undertaking involves financial matters:
- Explicitly mention the agreed-upon terms, including amounts and payment schedules.
- Confirm understanding of financial responsibilities and consequences for default.
Addressing Misconduct in an Undertaking Letter
In situations of misconduct:
- Acknowledge the wrongdoing.
- Express remorse and outline preventive measures.
- Clearly state consequences for any future misconduct.
Writing An Employment Undertaking Letter
For job-related undertakings:
- Confirm understanding of the job terms and conditions.
- Clearly state working hours, responsibilities, and consequences for contract breaches.
Tips for an Effective Undertaking Letter
- Use clear and concise language.
- Ensure the letter aligns with your intentions.
- Cross-check for accuracy before submission.
- Keep photocopies or digital copies for future reference.
Conclusion
Writing an undertaking letter is a valuable skill applicable to various aspects of life. Whether securing admission, entering employment, or engaging in financial transactions, a well-crafted letter provides clarity and commitment.
FAQs
- Is a Letter of Undertaking legally binding?
- While not a legal contract, a well-drafted letter holds moral and sometimes legal weight, depending on the context.
- Can an undertaking be revoked?
- In some cases, yes. However, consequences for revocation should be considered.
- Is it necessary to involve a solicitor in writing an undertaking letter?
- It’s not mandatory, but legal advice can be beneficial in complex situations.
- Can an undertaking letter be used in court?
- In certain situations, a letter of undertaking may be presented as evidence, but it’s not a substitute for a formal contract.
- Should an undertaking letter always be in writing?
- While written letters are common, oral undertakings may also be recognized in specific situations.