When it comes to drafting an agreement, there are several crucial aspects that one must consider. One of the most important elements is ensuring that the agreement is legally binding and enforceable under the law.
One way to achieve this is by using a split agreement. A split agreement is a legal document that outlines the terms and conditions of a particular agreement between two or more parties. This type of agreement is often used in business transactions, real estate transactions, and employment contracts.
Here`s a sample of what a split agreement might look like:
Split Agreement Sample
This agreement (“Agreement”) is made and entered into this ___ day of ____, 20__ by and between ____ (the “Company”), and ____ (the “Employee”).
WHEREAS, the Company wishes to engage the services of the Employee as an independent contractor or employee, and the Employee desires to provide such services to the Company;
NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, the parties agree as follows:
1. Services. The Employee shall provide the Company with the following services (the “Services”):
a. [Insert description of services]
b. [Insert description of services]
c. [Insert description of services]
2. Compensation. The Company shall pay the Employee the following compensation (the “Compensation”):
a. [Insert amount of compensation]
b. [Insert amount of compensation]
c. [Insert amount of compensation]
3. Term. This Agreement shall commence on the date first written above and shall continue until terminated by either party upon ____ days` written notice to the other party.
4. Confidentiality. The Employee agrees to keep all confidential information of the Company confidential and not disclose such information to any third party without the written consent of the Company.
5. Non-competition. The Employee agrees not to compete with the Company for a period of ____ months following termination of this Agreement.
6. Termination. This Agreement may be terminated by either party upon ____ days` written notice to the other party.
7. Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the state of ____.
8. Entire Agreement. This Agreement contains the entire understanding between the parties with respect to the subject matter hereof and supersedes all prior or contemporaneous communications between the parties, whether oral or written.
IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written above.
[Company Name], by ___________________________________________
[Employee Name], by __________________________________________
As you can see from the sample, a split agreement is a straightforward legal document that outlines the terms and conditions of an agreement between two parties. In addition to the sections outlined in the sample, a split agreement may also include clauses on intellectual property rights, indemnification, and dispute resolution, among others.
Using a split agreement ensures that both parties clearly understand their obligations under the agreement and can help prevent any disputes or misunderstandings down the road. It`s always a good idea to have an experienced attorney review your split agreement to ensure that it is legally enforceable and protects your interests.