General obligations clause: Copy, customize, and use instantly
Introduction
A general obligations clause outlines the basic responsibilities and duties of each party under the Agreement. It defines the actions each party must undertake to fulfill the terms of the Agreement. This clause provides clarity and ensures that both parties are committed to performing their duties as specified, helping to avoid disputes or misunderstandings during the term of the agreement.
Below are templates for general obligations clauses tailored to different scenarios. Copy, customize, and insert them into your agreement.
Basic general obligations clause
This variation outlines the basic responsibilities of the Parties.
Both Parties agree to perform their obligations under this Agreement in good faith and in a timely and efficient manner. Each Party agrees to provide all necessary resources, support, and cooperation required to fulfill the obligations set forth in this Agreement.
General obligations clause with performance standards
This variation includes performance standards for the Parties.
The Parties agree to perform their obligations in accordance with the highest industry standards. Both Parties will ensure that all work or services provided under this Agreement meet or exceed the performance standards agreed upon in this document. If performance falls below these standards, the Parties agree to take corrective actions as necessary.
General obligations clause with compliance provision
This variation ensures compliance with laws and regulations.
Both Parties agree to comply with all applicable laws, regulations, and industry standards in performing their obligations under this Agreement. Each Party shall ensure that their actions or omissions do not violate any laws or regulations and shall bear the responsibility for any violations that occur due to their actions.
General obligations clause with delivery deadlines
This variation includes deadlines for the Parties' obligations.
The Parties agree to complete their respective obligations in accordance with the specified timelines outlined in the Agreement. Each Party will make best efforts to ensure that all deliverables are provided by the agreed-upon deadlines, and any delays must be communicated to the other Party in advance.
General obligations clause with cooperation requirement
This variation emphasizes cooperation between the Parties.
Both Parties agree to cooperate fully and in good faith to perform all obligations under this Agreement. This includes providing necessary information, resources, and access to facilitate the successful completion of the tasks outlined. Any request for cooperation by either Party will be promptly addressed.
General obligations clause with confidentiality commitment
This variation includes a confidentiality requirement.
The Parties agree to maintain the confidentiality of all proprietary or sensitive information exchanged during the term of this Agreement. Both Parties shall take appropriate measures to prevent unauthorized disclosure or use of such information and will fulfill their obligations while protecting the confidentiality of any shared data.
General obligations clause with maintenance of quality
This variation sets expectations for the quality of services or products.
Both Parties agree to perform their obligations in a manner that maintains the highest quality standards. The Parties will regularly assess their performance to ensure that all deliverables meet the required specifications and quality expectations, taking corrective actions if any discrepancies are identified.
General obligations clause with notification of changes
This variation requires the Parties to notify of any changes.
The Parties agree to notify each other in writing of any material changes to their obligations, including any delay, changes in circumstances, or issues that may affect their ability to perform as agreed. Notifications must be made within [specified time] of any changes occurring.
General obligations clause with indemnification provision
This variation includes indemnification responsibilities.
Each Party agrees to indemnify and hold the other harmless from any claims, losses, damages, or liabilities arising out of their performance under this Agreement. The indemnifying Party will cover all associated costs, including legal fees, resulting from any failure to meet obligations or from breach of the Agreement.
General obligations clause with ethical conduct
This variation includes a commitment to ethical conduct.
Both Parties agree to act in good faith, exercising honesty and integrity in all actions performed under this Agreement. Each Party commits to upholding ethical standards in the execution of their obligations, ensuring transparency and fairness in all dealings.
General obligations clause with dispute resolution obligation
This variation includes a commitment to resolve disputes.
The Parties agree to make all reasonable efforts to resolve any disputes related to the performance of this Agreement through negotiation and alternative dispute resolution methods, such as mediation or arbitration. Both Parties will work collaboratively to reach a fair and amicable solution.
General obligations clause with resource allocation
This variation specifies resource allocation for obligations.
The Parties agree to allocate sufficient resources, including personnel, equipment, and funds, to ensure the timely and efficient fulfillment of their obligations under this Agreement. Each Party will assess and adjust resource allocation as necessary to meet the Agreement’s requirements.
General obligations clause with performance reviews
This variation introduces performance reviews.
The Parties agree to conduct periodic performance reviews at [specified intervals] to assess the progress and quality of the work performed under this Agreement. Each Party will provide constructive feedback and agree on any necessary improvements to ensure continued success.
General obligations clause with dispute avoidance
This variation includes measures to avoid disputes.
Both Parties agree to make all reasonable efforts to prevent disputes related to the performance of this Agreement. This includes clear communication, regular updates, and promptly addressing any concerns that may arise. Should a dispute occur, both Parties will seek to resolve it as efficiently as possible.
General obligations clause with documentation requirements
This variation specifies documentation obligations.
The Parties agree to maintain accurate and up-to-date records related to their obligations under this Agreement. Both Parties will ensure that all documentation is available for review by the other Party as needed and in compliance with applicable record-keeping regulations.
General obligations clause with timely performance guarantee
This variation includes a guarantee for timely performance.
Both Parties agree to perform their obligations within the timelines specified in this Agreement. If either Party anticipates delays or difficulties, they will notify the other Party promptly and work to resolve the issue to ensure that performance deadlines are met.
General obligations clause with joint responsibility
This variation involves joint responsibility for obligations.
The Parties agree to share joint responsibility for the successful completion of all obligations outlined in this Agreement. Both Parties will collaborate closely and assume equal accountability for meeting all requirements and fulfilling the terms set forth.
General obligations clause with waiver of non-performance claims
This variation includes a waiver for non-performance claims.
Both Parties agree to waive any claims for non-performance unless the failure to perform is due to gross negligence or willful misconduct. This waiver does not relieve either Party of their obligations to perform as specified in this Agreement, provided that reasonable efforts are made to meet the terms.
General obligations clause with specified timelines for action
This variation sets specific timelines for action.
Both Parties agree to complete all actions related to their obligations within [specified time] of the Agreement’s execution. Should either Party fail to meet these timelines, they agree to notify the other Party immediately and make reasonable efforts to rectify the delay.
General obligations clause with third-party collaboration
This variation includes collaboration with third parties.
The Parties agree to collaborate with third parties as needed to fulfill their obligations under this Agreement. Both Parties will ensure that third-party collaborations align with the terms of this Agreement, and they will be responsible for overseeing the performance of any third parties involved.
General obligations clause with progressive reporting
This variation includes a requirement for progressive reporting.
The Parties agree to provide regular reports on the status of their obligations under this Agreement. These reports will include progress updates, challenges encountered, and any adjustments made to timelines or resources. Reports should be submitted at regular intervals, such as monthly or quarterly.
General obligations clause with non-solicitation commitment
This variation includes a non-solicitation commitment.
The Parties agree not to solicit or hire the other Party’s employees or contractors for the duration of this Agreement and for [specified period] after its termination. This provision ensures that both Parties maintain a fair and competitive environment and respect each other’s workforce.
General obligations clause with transparency requirement
This variation includes a transparency requirement between the Parties.
Both Parties agree to operate with full transparency throughout the term of this Agreement. Each Party shall promptly disclose any material facts, developments, or risks that may affect their ability to fulfill their obligations under the Agreement.
General obligations clause with resource sharing
This variation involves the sharing of resources between the Parties.
The Parties agree to share resources, including personnel, equipment, and expertise, to fulfill their obligations under this Agreement. Any resources shared will be used exclusively for the purpose of this Agreement, and any costs incurred will be equitably divided.
General obligations clause with key performance indicators (KPIs)
This variation includes the use of KPIs to measure performance.
Both Parties agree to define key performance indicators (KPIs) that will be used to assess the success of the Agreement. These KPIs will be reviewed periodically, and each Party will take action to ensure that they are met within the agreed timeframe.
General obligations clause with risk management responsibility
This variation includes risk management responsibilities.
The Parties agree to jointly identify, assess, and manage any risks associated with the performance of their obligations under this Agreement. Both Parties will implement risk mitigation strategies and report any risks or issues to the other Party as soon as they arise.
General obligations clause with non-disclosure commitment
This variation includes a non-disclosure commitment.
Both Parties agree to keep all confidential information shared under this Agreement strictly confidential. This obligation applies both during the term of the Agreement and indefinitely after its termination. Any disclosure of confidential information will require prior written consent from the other Party.
General obligations clause with mutual support obligation
This variation includes mutual support between the Parties.
The Parties agree to provide mutual support in fulfilling their obligations under this Agreement. Each Party will offer assistance, resources, and cooperation as needed to ensure the successful completion of the terms outlined in this Agreement.
General obligations clause with regulatory compliance
This variation includes a commitment to regulatory compliance.
Both Parties agree to comply with all applicable laws, regulations, and industry standards in carrying out their obligations under this Agreement. Each Party will ensure that they are fully compliant with any relevant regulatory requirements, and promptly notify the other Party of any changes in the regulatory environment that may affect the Agreement.
General obligations clause with quality assurance measures
This variation includes quality assurance measures to ensure the fulfillment of obligations.
The Parties agree to implement quality assurance measures to ensure that all deliverables under this Agreement meet the required standards. Both Parties will periodically review the deliverables and take corrective actions if any quality standards are not met.
General obligations clause with flexibility for unforeseen circumstances
This variation includes flexibility for handling unforeseen circumstances.
The Parties agree to remain flexible in adjusting their obligations under this Agreement if unforeseen circumstances arise. Both Parties will communicate promptly regarding any changes that may be required to address these circumstances and work together to reach a mutually agreeable solution.
General obligations clause with responsibility for sub-contractors
This variation includes responsibilities for sub-contractors.
The Parties agree that any sub-contractors engaged to fulfill obligations under this Agreement will be subject to the same terms and conditions. The primary Party remains responsible for ensuring that sub-contractors perform their duties in compliance with the Agreement.
General obligations clause with continuous improvement
This variation includes a continuous improvement provision.
Both Parties agree to continuously evaluate and improve the processes, systems, and performance related to this Agreement. If improvements can be made, both Parties will work together to implement those changes and ensure the ongoing success of the Agreement.
General obligations clause with performance benchmarks
This variation includes specific performance benchmarks.
The Parties agree to meet specific performance benchmarks outlined in this Agreement. If any Party fails to meet the required benchmarks, they will promptly inform the other Party and take the necessary steps to address the shortfall and avoid delays.
General obligations clause with regular communication
This variation includes a commitment to regular communication.
Both Parties agree to maintain open and regular communication throughout the term of this Agreement. Any issues, concerns, or developments will be communicated promptly to ensure both Parties are informed and can take timely action to address any challenges.
General obligations clause with commitment to environmental sustainability
This variation includes a commitment to environmental sustainability.
Both Parties agree to consider environmental sustainability in the performance of their obligations under this Agreement. The Parties will take reasonable measures to minimize their environmental impact, including reducing waste, conserving energy, and complying with all applicable environmental regulations.
General obligations clause with cooperation in audits
This variation includes cooperation for audit purposes.
The Parties agree to cooperate fully in any audits conducted to verify compliance with the terms of this Agreement. Both Parties will provide access to all relevant records and assist with the audit process to ensure transparency and accountability.
General obligations clause with indemnification for third-party claims
This variation includes indemnification for third-party claims.
Each Party agrees to indemnify and hold the other Party harmless from any third-party claims, losses, damages, or expenses arising from their failure to fulfill their obligations under this Agreement. The indemnifying Party will bear the costs of any legal action related to such claims.
General obligations clause with dispute escalation process
This variation includes an escalation process for disputes.
In the event of a dispute arising under this Agreement, the Parties agree to attempt to resolve the issue through informal discussions. If the dispute cannot be resolved informally, it will be escalated to a senior management level for further negotiation. Only if unresolved will the dispute be referred to mediation or arbitration, as specified in this Agreement.
General obligations clause with intellectual property protection
This variation includes intellectual property protection requirements.
The Parties agree to respect and protect each other’s intellectual property rights. Any intellectual property created during the performance of this Agreement will remain the exclusive property of the Party creating it unless otherwise agreed in writing. Both Parties will take necessary steps to protect intellectual property and prevent unauthorized use.
General obligations clause with timeline extensions for unforeseen delays
This variation includes provisions for extending timelines due to delays.
If either Party experiences unforeseen delays that prevent the timely fulfillment of their obligations, the Parties will work together to extend the timeline accordingly. The Party affected by the delay must provide written notice and sufficient documentation to justify the extension request.
General obligations clause with cost-sharing provisions
This variation includes cost-sharing provisions.
The Parties agree to share any additional costs incurred during the performance of this Agreement. Any costs that are beyond the initial budget outlined will be split equally unless otherwise agreed in writing. Both Parties will review any changes in costs before they are incurred and mutually agree on the division.
General obligations clause with regulatory reporting requirements
This variation includes regulatory reporting obligations.
The Parties agree to comply with all regulatory reporting requirements applicable to the performance of this Agreement. Both Parties will ensure that all required reports are submitted within the prescribed deadlines and that the other Party is kept informed of any regulatory matters that may affect the Agreement.
General obligations clause with insurance requirements
This variation includes insurance obligations.
Each Party agrees to maintain adequate insurance coverage for the duration of this Agreement. The insurance must cover potential risks associated with the performance of obligations under this Agreement, including but not limited to liability, property damage, and workers’ compensation. Proof of insurance will be provided to the other Party upon request.
General obligations clause with confidential information handling
This variation includes provisions on handling confidential information.
Both Parties agree to handle all confidential information received during the term of this Agreement with the utmost care and protect it from unauthorized disclosure. The Parties will take all necessary precautions, including but not limited to the use of secure communication methods, to safeguard confidential information.
General obligations clause with notification of force majeure events
This variation includes force majeure notification requirements.
In the event of a force majeure event that affects either Party’s ability to perform their obligations under this Agreement, the affected Party will notify the other Party promptly. The notification will include details of the event and an estimated timeline for resumption of performance. Both Parties agree to discuss appropriate remedies or adjustments to the Agreement in light of the force majeure event.
General obligations clause with subcontracting limits
This variation places limits on subcontracting.
Both Parties agree that they will not subcontract any of their obligations under this Agreement without prior written consent from the other Party. Any subcontractor used must comply with all terms of this Agreement and be subject to the same obligations as the Parties themselves.
General obligations clause with performance incentives
This variation includes performance-based incentives.
The Parties agree to establish performance incentives that reward successful and timely completion of milestones. These incentives will be defined in the Agreement and will be paid upon the successful completion of each agreed milestone. If the milestones are completed ahead of schedule or under budget, the Parties will share in the cost savings or benefits.
General obligations clause with regular status updates
This variation includes regular status update obligations.
Both Parties agree to provide regular status updates on the progress of their obligations under this Agreement. These updates will be provided at intervals specified in the Agreement, and both Parties will work together to ensure that all obligations are met on schedule and any issues are addressed promptly.
General obligations clause with change management process
This variation includes a change management process.
Any changes to the scope of this Agreement must be managed through a formal change management process. Both Parties will assess the potential impact of changes, including cost, timeline, and resources, and agree to any modifications in writing. Both Parties will ensure that the change management process is followed to prevent misunderstandings.
General obligations clause with penalty for non-compliance
This variation includes penalties for non-compliance.
Both Parties agree that any failure to meet the obligations outlined in this Agreement will result in a penalty. The Party failing to meet their obligations will be required to pay a penalty of [specified amount] for each day of non-compliance. These penalties will be enforceable unless the non-compliance is due to a force majeure event.
General obligations clause with confidentiality of the Agreement itself
This variation extends confidentiality to the Agreement itself.
Both Parties agree that the terms of this Agreement are confidential and will not be disclosed to third parties without the prior written consent of the other Party, unless required by law. This confidentiality obligation extends to all aspects of the Agreement, including the fact of its existence.
General obligations clause with annual review of obligations
This variation includes an annual review process.
The Parties agree to conduct an annual review of their obligations under this Agreement to assess performance and compliance. The review will provide an opportunity to address any areas of concern, adjust timelines, and ensure that both Parties remain aligned with the Agreement’s objectives.
General obligations clause with accountability for errors or omissions
This variation includes accountability for errors.
Both Parties agree to take responsibility for any errors or omissions in the execution of their obligations under this Agreement. The responsible Party will promptly correct any errors or omissions and compensate the other Party for any damages resulting from such mistakes.
General obligations clause with legal compliance audit
This variation includes an obligation for a legal compliance audit.
Both Parties agree to undergo a legal compliance audit at least once during the term of this Agreement. The audit will be conducted by a third-party auditor and will review compliance with the relevant laws and regulations. Any issues identified during the audit will be promptly addressed by the Parties.
General obligations clause with termination for convenience
This variation allows termination for convenience.
Both Parties agree that either Party may terminate this Agreement for convenience with [specified number] days’ written notice to the other Party. In the event of such termination, the terminating Party will bear any costs incurred up to the point of termination and any necessary arrangements for the wind-up of obligations.
General obligations clause with non-exclusivity provision
This variation includes a non-exclusivity provision.
Both Parties agree that this Agreement is non-exclusive. Each Party retains the right to engage with other parties to perform similar services or obligations, provided that it does not conflict with their commitments under this Agreement.
General obligations clause with service quality standards
This variation includes service quality standards.
The Parties agree to meet the quality standards outlined in this Agreement. Both Parties will implement measures to monitor service delivery and performance to ensure that the services provided meet or exceed the agreed-upon quality benchmarks.
General obligations clause with mutual assistance requirement
This variation includes a mutual assistance provision.
The Parties agree to provide mutual assistance as needed to fulfill their obligations under this Agreement. This includes providing necessary resources, information, and support in good faith to ensure the successful performance of the Agreement.
General obligations clause with public disclosure restrictions
This variation includes restrictions on public disclosure.
Both Parties agree that no information related to this Agreement shall be disclosed to the public without the prior written consent of the other Party, except as required by law or regulation. Any public statements or announcements related to the Agreement must be mutually agreed upon.
General obligations clause with adherence to internal policies
This variation includes adherence to internal policies.
The Parties agree to comply with their respective internal policies, including but not limited to security, data protection, and conflict-of-interest policies, in the execution of their obligations under this Agreement.
General obligations clause with no transfer of intellectual property
This variation prevents the transfer of intellectual property.
The Parties agree that any intellectual property developed or created in connection with this Agreement will remain the property of the Party that created it, and no intellectual property rights will be transferred unless explicitly agreed to in writing.
General obligations clause with agreed-upon deadlines
This variation includes agreed-upon deadlines for completion.
Both Parties agree to meet the deadlines set forth in this Agreement. In the event that a Party is unable to meet a deadline due to unforeseen circumstances, they will notify the other Party immediately and provide an updated timeline for completion.
General obligations clause with non-interference provision
This variation includes a non-interference provision.
The Parties agree not to interfere with each other’s business operations, including their relationships with employees, customers, or subcontractors, during the term of this Agreement. Both Parties will respect the independence of the other Party's operations and will not solicit or disrupt business activities.
General obligations clause with independent contractor status
This variation confirms the independent contractor status.
The Parties acknowledge and agree that their relationship under this Agreement is that of independent contractors. Neither Party shall be considered an employee, partner, or agent of the other, and nothing in this Agreement shall create a joint venture or employment relationship.
General obligations clause with responsibility for compliance with industry standards
This variation includes responsibility for compliance with industry standards.
Both Parties agree to ensure that all actions, products, and services provided under this Agreement comply with all relevant industry standards, regulations, and best practices. Both Parties will remain up-to-date with any changes to applicable standards during the term of the Agreement.
General obligations clause with timely reporting
This variation includes timely reporting obligations.
The Parties agree to provide regular reports on the progress and status of their obligations under this Agreement. Reports will be submitted in a timely manner according to the schedule set forth in the Agreement, and will include key performance indicators and milestones.
General obligations clause with indemnification for third-party claims
This variation includes indemnification provisions for third-party claims.
Both Parties agree to indemnify each other against any claims, losses, or damages arising from third-party claims related to their actions or omissions under this Agreement. Each Party will take responsibility for any costs or damages arising from such claims.
General obligations clause with handling of public relations matters
This variation includes handling of public relations matters.
The Parties agree to collaborate on any public relations efforts related to this Agreement. Both Parties must approve any press releases or public statements regarding the Agreement or the performance thereof prior to their release to ensure consistency and accuracy.
General obligations clause with confidentiality of terms
This variation ensures confidentiality of the terms of the Agreement.
The Parties agree that the terms of this Agreement will remain confidential and will not be disclosed to third parties unless required by law or with prior written consent from the other Party. This confidentiality obligation remains in effect even after the termination of the Agreement.
General obligations clause with continuous monitoring
This variation includes a provision for continuous monitoring.
Both Parties agree to continuously monitor the performance of their obligations under this Agreement and will take corrective action if any issues or non-compliance are identified. Monitoring will be conducted regularly to ensure the success of the Agreement.
General obligations clause with non-solicitation of employees
This variation includes a non-solicitation provision for employees.
During the term of this Agreement and for [specified period] thereafter, neither Party will directly or indirectly solicit, hire, or engage the employees or contractors of the other Party without prior written consent.
General obligations clause with limitation on liability for indirect damages
This variation limits liability for indirect damages.
The Parties agree that neither Party will be liable for any indirect, incidental, or consequential damages arising from the performance or non-performance of obligations under this Agreement, except in cases of gross negligence or willful misconduct.
This article contains general legal information and does not contain legal advice. Cobrief is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.