Document background
The Partnership Letter of Intent is a crucial preliminary document used when two or more parties are considering entering into a formal partnership arrangement under Swiss law. It serves as a roadmap for negotiations and typically precedes a definitive partnership agreement. This document is particularly useful in complex business arrangements where parties need to outline their preliminary understanding while conducting due diligence and negotiating final terms. While mostly non-binding, it often contains certain binding provisions such as confidentiality, exclusivity, and governing law clauses. The document is governed by Swiss law, particularly the Swiss Code of Obligations, and reflects Switzerland's approach to pre-contractual documents. It's commonly used in various contexts, from small business partnerships to large-scale joint ventures, providing a structured framework for parties to progress towards a final agreement while maintaining flexibility in negotiations.
