Preliminary Agreement
/ˌprɛlɪˈmɪnɛri əˈgriːmənt/
Definitions
- (n.) A provisional contract outlining the main terms parties intend to finalize in a formal agreement.
The parties signed a preliminary agreement to set the framework for the merger.
- (n.) An agreement that is generally non-binding except for specified provisions like confidentiality or exclusivity.
Although the preliminary agreement was not legally binding, it guided the negotiation process.
Forms
- preliminary agreements
Related terms
See also
Commentary
Preliminary agreements often contain binding provisions such as confidentiality or exclusivity even when the overall agreement is non-binding; drafters should clearly specify which terms are intended to be binding.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.