Termination Of Cooperation Agreement

The great deal of contractual freedom in the design of cooperation agreements allows the parties to decide for themselves what they wish to include in the agreement. There are a number of essential elements that should actually be included in any cooperation agreement. Firstly, the cooperation agreement should indicate which parties will participate in the agreement and what the purpose of the cooperation is. Secondly, it should define the rights and obligations of each of the parties with regard to cooperation. Of course, the cooperation agreement should include the duration of the cooperation, the grounds for dismissal, the consequences of termination, the management of conflicts and the arrangements for control. The provisions that will be included and those that will not depend on cooperation. That is why a cooperation agreement can be described as a truly tailor-made agreement. In such a case, it is convenient for you to terminate the contract. This draft letter is intended to assist in the establishment of a termination of a contract of enterprise with another company.

It contains key elements to avoid misunderstandings and end a partnership on consensual terms. In principle, a cooperation agreement can only be terminated if (i) the duration of the contract has expired or (ii) one of the contracting parties fails to comply with its obligations under the Treaty. Whether or not there is no non-performance must be assessed in the light of the circumstances of the case. By noting in advance what constitutes non-compliance by the parties, it is possible to avoid conflicts. 2.1 The parties must be loyal to the other party and seek sound cooperation.