Document background
The MoU Collaboration Agreement is a crucial document in Indonesian business practice, commonly used as a first step in establishing formal business relationships. This document type is particularly relevant when parties wish to document their intention to collaborate while working out the details of their partnership. Under Indonesian law, while MoUs are generally considered non-binding for commercial terms, they can create binding obligations regarding confidentiality and exclusivity. The document is especially useful in cross-border transactions, joint ventures, research partnerships, and strategic alliances, where parties need to establish clear principles before proceeding to more detailed agreements. The MoU Collaboration Agreement typically includes provisions that align with Indonesian Civil Code requirements while maintaining the flexibility needed for preliminary arrangements.
