Document background
The Project Confirmation Letter is a critical business document used in Hong Kong to formalize project arrangements between parties after initial negotiations and agreements have been reached. It serves as an intermediate step between informal project discussions and full-scale contracts, providing sufficient legal protection while maintaining operational flexibility. This document type is particularly valuable in fast-moving business environments where projects need to commence quickly while ensuring key terms are properly documented. The letter typically follows Hong Kong common law principles and relevant ordinances, incorporating essential project details, commercial terms, and execution parameters. It's commonly used in situations where a full contract might be overly complex for the project scope, but where formal documentation of agreements is still necessary for proper project governance and risk management.
