- Names of the parties.
- Addresses of the parties.
- Date of the agreement.
- Description of the agreement, including terms and responsibilities. Provisions such as jurisdiction, waiver of jury trial, costs, and provisions for notices, assignments, and amendments may also be part of an MoU.
- Dated signatures of the parties.
Again: MoUs are not legally binding contracts, although they can serve as a precursor to them. They don’t imply a lack of trust in a party, but often when working with other people (or agencies), it’s simply best to have clear expectations and requirements to avoid later conflicts.
MoUs are especially common among government agencies that are cooperating with one another. A public health department, for example, may sign an MoU with a transportation agency to ensure that disabled constituents are able to receive special services. Interagency MoUs are common since they’re much less time- and labor-intensive than contract negotiations.
In some cases, MoUs cross national boundaries. For example, seven European countries signed an MoU in March 2023 with the U.S. Department of Justice to coordinate any probes into alleged Russian war crimes in Ukraine. MoUs are also common in international relations since it’s not always possible to persuade governments to approve special treaties, especially when issues are time-sensitive.
