Document background
The MoU Between Company Directors is a strategic document used to establish clear guidelines and understanding between directors operating under German corporate law. It is particularly valuable when directors need to formalize their working relationship, define areas of responsibility, or establish protocols for joint decision-making. The document typically includes provisions for governance structure, resource allocation, and communication protocols, while ensuring compliance with German corporate regulations including the Stock Corporation Act (Aktiengesetz) and the German Commercial Code (Handelsgesetzbuch). This type of MoU is especially relevant for companies undergoing structural changes, implementing new governance frameworks, or establishing clear boundaries between different directorial roles. While maintaining its non-binding nature characteristic of MoUs, the document serves as a crucial reference point for corporate governance and director relations.
