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Pre Contractual Agreement
"Need a Pre Contractual Agreement for preliminary merger discussions with a Hong Kong-based retail chain, with strict confidentiality provisions and 6-month exclusivity period starting January 2025."
1. Parties: Full legal names and addresses of all parties involved in the pre-contractual discussions
2. Background: Context of the proposed transaction and purpose of entering into pre-contractual discussions
3. Definitions: Key terms used throughout the agreement, including 'Confidential Information', 'Proposed Transaction', etc.
4. Purpose and Scope: Detailed description of the proposed transaction and scope of preliminary discussions
5. Non-Binding Nature: Clear statement that discussions are preliminary and non-binding, except for specific clauses
6. Binding Obligations: Specific provisions that are binding (typically confidentiality, costs, and governing law)
7. Confidentiality: Obligations regarding the protection and non-disclosure of confidential information
8. Duration and Termination: Period for which the pre-contractual agreement remains in effect and termination provisions
9. Costs: Each party's responsibility for their own costs during preliminary discussions
10. Governing Law and Jurisdiction: Specification of Hong Kong law as governing law and jurisdiction for disputes
1. Exclusivity: Used when parties agree not to negotiate with other parties for a specified period
2. Break Fee: Include when parties agree on compensation if one party withdraws from negotiations
3. Cost Sharing: Used when parties agree to share certain costs during the preliminary phase
4. Intellectual Property: Include when preliminary discussions involve sharing of IP or creation of new IP
5. Due Diligence Process: Used when setting out the framework for conducting due diligence
6. Regulatory Approvals: Include when proposed transaction may require regulatory notifications or approvals
7. Non-Solicitation: Used to prevent parties from soliciting each other's employees or clients during negotiations
1. Schedule 1 - Authorized Representatives: List of authorized representatives from each party who will conduct negotiations
2. Schedule 2 - Scope of Proposed Transaction: Detailed description of the proposed transaction or collaboration
3. Schedule 3 - Timetable: Proposed timeline for negotiations and key milestones
4. Schedule 4 - Confidential Information: Detailed description or categories of information deemed confidential
5. Schedule 5 - Pre-Approved Third Party Disclosures: List of advisors or third parties to whom disclosure is pre-approved
6. Appendix A - Form of NDA: Standard form of confidentiality agreement for additional parties if needed
Authors
Financial Services
Technology
Manufacturing
Real Estate
Healthcare
Retail
Energy
Telecommunications
Professional Services
Media and Entertainment
Construction
Mining and Resources
Education
Transportation and Logistics
Hospitality
Legal
Corporate Development
Business Development
Executive Leadership
Finance
Strategy
Operations
Risk and Compliance
Commercial
Mergers and Acquisitions
Chief Executive Officer
Managing Director
Chief Legal Officer
General Counsel
Legal Counsel
Business Development Director
Chief Financial Officer
Commercial Director
Head of Strategy
Corporate Development Manager
Investment Director
Senior Legal Manager
Compliance Officer
Operations Director
Project Manager
Risk Manager
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