Memorandum of Understanding
A non-binding record of what two parties intend to do together, with the few clauses that do bind: confidentiality, costs and governing law.
- 01Date and emirate
- 02First party
- 03Second party
- 04The project
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About this document
What it is for, what UAE law expects and when to ask a lawyer instead.
What is a Memorandum of Understanding?
An MoU sets out what two businesses intend to do together before a full contract is signed. In the UAE it is usually non-binding, but the confidentiality, cost and governing-law clauses are made binding so both sides can talk freely.
When to use it
Joint bids, distribution talks, technology partnerships and pre-investment discussions where the parties want a written record without committing to the deal yet.
When you need a lawyer instead
If money changes hands, exclusivity lasts more than a few months or the MoU is with a government body, have a lawyer draft a binding agreement.
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