Document background
The MoU Between Two Companies is a crucial preliminary document used in the Dutch business environment when organizations are exploring potential collaboration, joint ventures, or other business arrangements. This document type is particularly valuable in the initial stages of business negotiations, where parties need to document their preliminary understanding before committing to a fully binding agreement. Under Dutch law, while an MoU is generally considered non-binding, certain provisions (such as confidentiality and exclusivity) can be made explicitly binding. The document typically includes the intended structure of the proposed relationship, key commercial terms, timeline for definitive agreements, and any specific conditions that need to be met. It serves as a strategic tool for business planning and risk management while providing a clear framework for further negotiations.
