Document background
A Simple Letter of Intent is commonly used in Singapore business transactions as an initial step before formal contract negotiation. It provides a structured way to express serious interest while maintaining flexibility. The document typically includes basic terms, proposed timelines, and any preliminary agreements while clearly stating its non-binding nature. Under Singapore law, while LOIs are generally non-binding, certain provisions like confidentiality may be explicitly made binding. This document type is particularly useful for straightforward transactions where parties want to document their preliminary understanding without complex terms.
