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Agreement Between Two Companies for United Arab Emirates

Agreement Between Two Companies Template for United Arab Emirates

A comprehensive commercial agreement governed by UAE law that establishes and regulates the business relationship between two corporate entities. This document incorporates essential elements required under UAE Federal Law No. 5 of 1985 (Civil Code) and Federal Law No. 18 of 1993 (Commercial Code), ensuring legal compliance while defining the rights, obligations, and responsibilities of both parties. The agreement includes provisions for contract formation, performance, termination, and dispute resolution in accordance with UAE commercial law principles.

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Agreement Between Two Companies

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What is a Agreement Between Two Companies?

An Agreement Between Two Companies is a fundamental commercial document used to formalize business relationships in the United Arab Emirates. This agreement type is essential for establishing legally binding commercial arrangements between corporate entities operating within or from the UAE, whether they are mainland companies, free zone entities, or branches of foreign companies. The document must comply with UAE Federal Law No. 5 of 1985 (Civil Code) and related commercial legislation, incorporating specific requirements for contract formation and enforcement under UAE law. It typically covers essential aspects such as scope of cooperation, financial terms, obligations, warranties, termination rights, and dispute resolution mechanisms, while considering local business practices and legal requirements. This agreement type is particularly important in the UAE's dynamic business environment, where clear documentation of commercial relationships is crucial for legal certainty and business success.

What sections should be included in a Agreement Between Two Companies?

1. Parties: Identification of the contracting companies including full legal names, license numbers, and registered addresses as per UAE requirements

2. Background: Context of the agreement and brief description of each party's business and the purpose of their collaboration

3. Definitions: Defined terms used throughout the agreement, including Arabic translations of key terms as may be required

4. Scope of Agreement: Detailed description of the commercial relationship and obligations of each party

5. Term and Renewal: Duration of the agreement and conditions for renewal or extension

6. Financial Terms: Payment terms, pricing, invoicing procedures, and currency specifications

7. Representations and Warranties: Standard commercial warranties and representations compliant with UAE law

8. Confidentiality: Provisions for protecting confidential information and trade secrets

9. Termination: Grounds and procedures for termination, including notice requirements

10. Governing Law and Jurisdiction: Specification of UAE law as governing law and jurisdiction of UAE courts

11. Notices: Process for formal communications between parties

12. General Provisions: Standard boilerplate clauses including severability, entire agreement, and amendments

What sections are optional to include in a Agreement Between Two Companies?

1. Intellectual Property Rights: Required when the agreement involves creation, licensing, or use of intellectual property

2. Force Majeure: Recommended for long-term agreements or where performance might be affected by external factors

3. Non-Competition: Include when parties need to restrict competitive activities

4. Dispute Resolution: Alternative dispute resolution procedures, particularly relevant for high-value contracts

5. Insurance: Required when specific insurance coverage needs to be maintained

6. Compliance with Laws: Detailed compliance obligations, particularly relevant for regulated industries

7. Data Protection: Required when personal data processing is involved

8. Change Control: Needed for agreements where scope or specifications may need future modification

What schedules should be included in a Agreement Between Two Companies?

1. Schedule 1 - Services/Products: Detailed specification of services or products being provided

2. Schedule 2 - Pricing and Payment Terms: Detailed breakdown of pricing, payment milestones, and financial terms

3. Schedule 3 - Service Levels: Performance metrics and service level requirements if applicable

4. Schedule 4 - Key Personnel: List of key personnel responsible for contract execution from each party

5. Schedule 5 - Technical Requirements: Technical specifications or requirements

6. Appendix A - Form of Notice: Template for formal notices under the agreement

7. Appendix B - Change Request Form: Standard form for requesting and documenting changes to the agreement

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Document Type

Agreement Contract

Cost

Free to use
Relevant legal definitions




















Clauses






























Relevant Industries

Technology

Manufacturing

Professional Services

Trading

Construction

Healthcare

Retail

Financial Services

Logistics

Real Estate

Energy

Telecommunications

Hospitality

Education

Relevant Teams

Legal

Commercial

Finance

Operations

Procurement

Business Development

Risk & Compliance

Corporate Secretariat

Project Management

Executive Leadership

Relevant Roles

Chief Executive Officer

Managing Director

Legal Counsel

Commercial Director

Chief Financial Officer

Operations Manager

Procurement Manager

Business Development Manager

Contract Manager

Company Secretary

Risk Manager

Compliance Officer

General Manager

Project Manager

Industries






Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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