Business Collaboration Agreement
[PartyA.Company] (Party A) and [PartyB.Company] (Party B), collectively known as the “Parties” each desire to enter into a mutually beneficial business relationship. This collaboration agreement is intended to serve as a legally binding contract governing the terms of that relationship.
[PartyA.City], [PartyA.State] [PartyA.Zip]
[PartyB.City], [PartyB.State] [PartyB.Zip]
The Parties wish to combine their resources to accomplish the following:
[Insert detailed description of Collaboration]
Authority and Representation
Any and all significant decisions regarding this collaboration agreement require approval by all involved parties.
Decisions will include, but not be limited too any and all decisions in regards to
service eligibility, service nature, and any and all financial matters related to the above listed objectives.
The Parties shall each nominate a primary representative to act on their behalf in all matters related to this collaboration agreement.
Chosen primary representatives shall be vested with the full ability to make decisions on behalf of their respective employers.
It is mutually understood that the Parties shall make every effort to ensure that all involved parties are fully aware of any pertinent facts related to the above listed objectives for the duration of this collaboration agreement.
Chosen primary representatives shall be responsible for keeping their respective employers abreast of any developments related to this collaboration agreement.
The following individuals have been appointed as chosen primary representatives for their respective employers:
The Parties shall equally share any staffing responsibilities related to this collaboration agreement. This includes providing personnel and financial resources to obtain additional personnel for the purpose of achieving the above listed objectives.
The Parties shall equally share any financial burden, obligation, or direct costs associated with this collaboration agreement.
Should outside funding or credit be required to support the achievement of the above listed objectives, the Parties agree to procure such credit jointly, and share in the responsibility to repay such debt.
Should one party provide additional capital above and beyond their equal share, that capital shall not grant them additional interest or control over the collaboration. Instead, the capital shall be considered a loan and shall be repaid from the proceeds from the collaboration’s efforts.
Profits and Proceeds
All profits, proceeds, and other returns related to this collaboration agreement shall be distributed in the following manner:
- Any shared financial obligations shall be repaid using the proceeds from the collaboration’s efforts. This includes the above referenced excess capital contributions from either of the involved parties, as well as any overhead costs associated with the project, such as compensation for managers, consultants, subcontractors, or equipment.
- Any remaining profits or proceeds shall be distributed equally amongst the parties to this collaboration agreement.
No additional partners or subcontractors shall be hired or procured without prior written approval from both parties.
The Parties agree that an independent consultant shall be hired to carry out a risk assessment prior to beginning any work related to this collaboration agreement.
The Parties agree to maintain insurance adequate to protect their respective personnel and assets from loss, theft, or damage.
The Parties agree to name each other in their respective insurance policies, and to indemnify and hold each other harmless in all cases save for those of gross or willful misconduct or neglect
Each participating collaborator will hold the option to revoke this agreement upon written notice no late than 30 days before termination date.
Any parties withdrawal from this agreement will terminate the agreement in its entirety including those made between other participating members.
All remaining parties will have the opportunity to begin a new agreement upon termination of the current agreement.
This contract may be extended or amended only by written approval from all participating parties. The decision to amend or extend the agreement shall include the date of the amendment/extension, and the signatures of appointed representative of each participating organization as well as any new terms and conditions amended or added to this agreement.
Each collaborator has had the ability to read and accept all conditions and terms listed above, and indicates full acceptance and approval of this collaboration agreement by signing electronically below.
Date: [Date Signed]