Deed of Adherence
A legal document that allows a new party to become bound by the terms of an existing agreement, usually a shareholders’ agreement or a partnership agreement. It ensures that the new party agrees to the same rights, obligations, and restrictions as the original signatories.
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Deed of Adherence - Legal Document for Joining Existing Agreements
A Deed of Adherence is a legal document that allows a new person or company to join an existing agreement (like a shareholders' agreement) after it has already been signed. This document ensures the new party agrees to follow all the same rules and gets the same rights as the original signatories.
Your Deed of Adherence made in Bind will include:
Party Information
Details about the company or partnership that issued the original agreement, the new person or entity joining the agreement, and reference to the existing parties who are already bound by it, establishing who has rights and obligations.
Background Context
A brief explanation of why this document is needed, including reference to the original agreement and confirmation that the new party has or will acquire an interest that requires them to be bound by the existing agreement.
Rights and Obligations
Clear statement that the new party will receive the same benefits and have the same responsibilities as existing parties, including participation in decisions, financial benefits, and compliance with any restrictions in the original agreement.
Agreement to Adhere
The formal promise by the new party to follow all terms and conditions of the original agreement as if they had signed it from the beginning, confirming they've reviewed and understood those terms.
General Provisions
Standard legal clauses confirming that the original agreement isn't being changed except to add the new party, how the document can be signed, confidentiality requirements, and other administrative matters.
Governing Law and Jurisdiction
Which country's or state's laws apply to the agreement and which courts will handle any legal disputes that might arise.
Creating a Deed of Adherence through Bind helps seamlessly integrate new parties into existing business agreements without having to rewrite the original contract. This document protects all parties by ensuring everyone is playing by the same rules, regardless of when they joined. The deed can be electronically signed, creating a legally binding contract that maintains continuity in business relationships while accommodating ownership or partnership changes.
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