The content of the cooperation agreement
The high degree of contractual freedom in the drafting 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 which should in fact be contained in each cooperation agreement. First, the cooperation agreement should specify which parties participate in the agreement and what the purpose of the cooperation is. Secondly, it should lay down the rights and obligations of each of the parties with regard to cooperation. Of course, the cooperation agreement should also cover the duration of the cooperation, the grounds for termination, the consequences of termination, the handling of conflicts and the arrangements for control. Which provisions will and will not be included depends on the cooperation. That is why a cooperation agreement can be described as a truly tailor-made agreement.
Termination of the cooperation agreement
It is important to include in the cooperation agreement the grounds on which the cooperation may be terminated. At the start of the cooperation agreement this is of course not the first thing you think about, but it can of course happen that you get into conflict with the other party or that the other party does not comply with the obligations of the cooperation agreement. In such a case it is convenient for you to be able to terminate the agreement.
In principle, a cooperation agreement can only be terminated if i) the duration of the agreement has expired or ii) if one of the contracting parties does not fulfil his or her obligations under the agreement. Whether or not there is non-performance has to be assessed according to the circumstances of the case. By establishing in advance what constitutes non-performance by the Parties, conflicts can be avoided.
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