Please accept my condolences.. May *** rest his soul.. May he rest in peace..
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Danyoo
This is an interesting question because what you might actually say is not as formal as what you might write in card. For instance, you don't actually say "may he rest in peace" or "my condolences to you and your family". It sounds too formal.
I may say something like "I am sorry about what happened...please let me know if there is anything I can do