Memorandum of Understanding (MOU)

An MOU records the understanding between parties at an early stage — the intent, the key terms, and the path to a formal agreement. Drafted carelessly it can bind you unintentionally; drafted well it captures the understanding while keeping the commercial terms open until the definitive contract.

The firm drafts and reviews MOUs, making clear which parts are binding and which are not.

An MOU typically covers, including:

• The parties and the purpose
• The key terms and the understanding reached
• Which provisions are binding (e.g. confidentiality, exclusivity)
• Which are non-binding, pending a formal agreement
• Timelines and the path to the definitive contract

1. 01

   Understand the deal

   Get the parties, intent, and key terms clearly.

2. 02

   Draft or review

   Prepare the MOU, marking binding and non-binding parts.

3. 03

   Advise

   Flag where it binds you and where it doesn't.

4. 04

   Finalise

   Finalise for signature.

PBT records your understanding without binding you unintentionally.

• Clear on what is binding and what is not
• The key terms captured accurately
• A clean path to the formal agreement
• Quick turnaround
• Scope, deliverables, and fees agreed in writing up front

• Is an MOU legally binding?

  It can be, in whole or part, depending on how it's drafted. We make clear which provisions bind (such as confidentiality) and which are non-binding pending a formal contract.

• Why not go straight to a contract?

  An MOU records alignment early and sets the path, while the parties work towards the definitive agreement — useful in larger or multi-stage deals.

• How long does it take?

  An MOU is typically drafted or reviewed within a day or two.