MOU And Contracts
MOU
A memorandum of understanding (MoU) is a document describing a bilateral or multilateral agreement between parties. It expresses a convergence of will between the parties, indicating an intended common line of action. It is often used in cases where parties either do not imply a legal commitment or in situations where the parties cannot create a legally enforceable agreement.
1. A document that expresses mutual accord on an issue between two or more parties.
2. Memoranda of understanding are generally recognized as binding, even if no legal claim could be based on the rights and obligations laid down in them.
3.Include each parties requirements and responsibilities. This is more expeditious than other forms of documentation.
4. An MOU is far more formal then a handshake and is given weight in a court of law should one party fail to meet the obligations of the memorandum.
5. A memorandum of understanding is synonymous with a letter of intent (LOI), which is a non-binding written agreement that implies a binding contract is to follow.
6. To be legally operative, a memorandum of understanding must
(1) identify the contracting parties,
(2) spell out the subject matter of the agreement and its objectives,
(3) summarize the essential terms of the agreement, and
(4) must be signed by the contracting parties. Also called letter of intent.
7. The MOU is often the first stage in the formation of a formal contract.
MOUs can vary and be tailored to each organization’s or party’s needs. In brief, an MOU states or describes:
Contracts
A contract is an agreement entered into voluntarily by two or more parties, each of whom intends to create one or more legal obligations between or among them. The elements of a contract are offer and acceptance by competent persons having legal capacity who exchange consideration to create mutuality of obligation, and, in some circumstances, do so in writing.
1. An agreement with specific terms between two or more persons or entities in which there is a promise to do something in return for a valuable benefit known as consideration. A contract is a legally enforceable promise or undertaking that something will or will not occur. The word promise can be used as a legal synonym for contract, although care is required as a promise may not have the full standing of a contract, as when it is an agreement without consideration.
2. Since the law of contracts is at the heart of most business dealings, it is one of the three or four most significant areas of legal concern and can involve variations on circumstances and complexities.
3. The existence of a contract requires finding the following factual elements:
a) an offer;
b) an acceptance of that offer which results in a meeting of the minds;
c) a promise to perform;
d) a valuable consideration (which can be a promise or payment in some form);
e) a time or event when performance must be made (meet commitments);
f) terms and conditions for performance, including fulfilling promises;
g) performance.
4. A unilateral contract is one in which there is a promise to pay or give other consideration in return for actual performance. (I will pay you $500 to fix my car by Thursday; the performance is fixing the car by that date). A bilateral contract is one in which a promise is exchanged for a promise. (I promise to fix your car by Thursday and you promise to pay $500 on Thursday).
5. At law, the remedy for breach of contract can be "damages" or compensation of money.
6. Contracts can be either written or oral, but oral contracts are more difficult to prove and in most jurisdictions the time to sue on the contract is shorter (such as two years for oral compared to four years for written). Proof of some or all of these elements may be done in writing, though contracts may be made entirely orally or by conduct.
7. In some cases a contract can consist of several documents, such as a series of letters, orders, offers and counteroffers.
8. There are a variety of types of contracts: "conditional" on an event occurring; "joint and several," in which several parties make a joint promise to perform, but each is responsible; "implied," in which the courts will determine there is a contract based on the circumstances. Parties can contract to supply all another's requirements, buy all the products made, or enter into an option to renew a contract.The variations are almost limitless.
9. Contracts for illegal purposes are not enforceable at law.
From India, Mumbai
148MOU
A memorandum of understanding (MoU) is a document describing a bilateral or multilateral agreement between parties. It expresses a convergence of will between the parties, indicating an intended common line of action. It is often used in cases where parties either do not imply a legal commitment or in situations where the parties cannot create a legally enforceable agreement.
1. A document that expresses mutual accord on an issue between two or more parties.
2. Memoranda of understanding are generally recognized as binding, even if no legal claim could be based on the rights and obligations laid down in them.
3.Include each parties requirements and responsibilities. This is more expeditious than other forms of documentation.
4. An MOU is far more formal then a handshake and is given weight in a court of law should one party fail to meet the obligations of the memorandum.
5. A memorandum of understanding is synonymous with a letter of intent (LOI), which is a non-binding written agreement that implies a binding contract is to follow.
6. To be legally operative, a memorandum of understanding must
(1) identify the contracting parties,
(2) spell out the subject matter of the agreement and its objectives,
(3) summarize the essential terms of the agreement, and
(4) must be signed by the contracting parties. Also called letter of intent.
7. The MOU is often the first stage in the formation of a formal contract.
MOUs can vary and be tailored to each organization’s or party’s needs. In brief, an MOU states or describes:
- Who the partners are and their contact information
- What it is they are going to be working on, the background of the project and why the MOU is being entered into
- The scope of the document and who will use what the MOU provides
- Specified activities, if already determined
- Implementation of activities
- Funding issues
- Each party's roles and responsibilities
- A time line, if desired
- Duration of agreement
- A signature and date of signature by all of the parties agreeing to the MOU
Contracts
A contract is an agreement entered into voluntarily by two or more parties, each of whom intends to create one or more legal obligations between or among them. The elements of a contract are offer and acceptance by competent persons having legal capacity who exchange consideration to create mutuality of obligation, and, in some circumstances, do so in writing.
1. An agreement with specific terms between two or more persons or entities in which there is a promise to do something in return for a valuable benefit known as consideration. A contract is a legally enforceable promise or undertaking that something will or will not occur. The word promise can be used as a legal synonym for contract, although care is required as a promise may not have the full standing of a contract, as when it is an agreement without consideration.
2. Since the law of contracts is at the heart of most business dealings, it is one of the three or four most significant areas of legal concern and can involve variations on circumstances and complexities.
3. The existence of a contract requires finding the following factual elements:
a) an offer;
b) an acceptance of that offer which results in a meeting of the minds;
c) a promise to perform;
d) a valuable consideration (which can be a promise or payment in some form);
e) a time or event when performance must be made (meet commitments);
f) terms and conditions for performance, including fulfilling promises;
g) performance.
4. A unilateral contract is one in which there is a promise to pay or give other consideration in return for actual performance. (I will pay you $500 to fix my car by Thursday; the performance is fixing the car by that date). A bilateral contract is one in which a promise is exchanged for a promise. (I promise to fix your car by Thursday and you promise to pay $500 on Thursday).
5. At law, the remedy for breach of contract can be "damages" or compensation of money.
6. Contracts can be either written or oral, but oral contracts are more difficult to prove and in most jurisdictions the time to sue on the contract is shorter (such as two years for oral compared to four years for written). Proof of some or all of these elements may be done in writing, though contracts may be made entirely orally or by conduct.
7. In some cases a contract can consist of several documents, such as a series of letters, orders, offers and counteroffers.
8. There are a variety of types of contracts: "conditional" on an event occurring; "joint and several," in which several parties make a joint promise to perform, but each is responsible; "implied," in which the courts will determine there is a contract based on the circumstances. Parties can contract to supply all another's requirements, buy all the products made, or enter into an option to renew a contract.The variations are almost limitless.
9. Contracts for illegal purposes are not enforceable at law.
From India, Mumbai
Dear Saibhakta, Since the management states that they have only an understanding with their recognised unions for not transfering the women employees, it means they do not have a proper agreement to back this policy. Although our Constitution prohibits discrimination on the basis sex, certain protective discrminations are perrmissible. But in this specfic case since all other terms of employment are same, discrimination on the basis of sex for transferability of the employees is not a valid policy.
Regards
KK
From India, Bhopal
Regards
KK
From India, Bhopal
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