Although the concept cards are not generally legally binding, with exceptions, in addition to confidentiality, exclusivity (if any), costs and jurisdiction, they prove the intent of the parties. Therefore, if something is agreed in an agenda, it can be difficult for both parties to renegotiate. Even if a renegotiation is possible, you may be forced to admit another point of the agreement that is important to you. A renegotiation may even have an impact on the relationship between the parties and may mean that the transaction never goes beyond that point. In other words, the consequences of a quick agreement on a non-binding negotiating point in a proposed transaction could be more serious than you had hoped. A terminology sheet may be akin to a statement of intent (LOI) if the act is predominantly one-sided, as with acquisitions, or a discussion paper intended to serve as a starting point for more intense negotiations. The main difference between a LOI and a concept sheet is stylistic; The first is written as a formal letter, while the second is composed of enumeration signs that orients its terms. The Appeal Division upheld the decision in the appeal process, with some significant amendments. When asked whether the concept sheet was an enforceable contract, the court focused on the parties` intention to be bound (i.e., whether there was a "meeting of minds" on the essential conditions of concentration). She found that there was no intention: the reason many startup founders decide to develop a timesheet is to show investors that founders know what they want to do and are sure of the conditions they want to include. The above standard sheet is provided only for educational purposes and should not be used as legal advice. None of this represents the clauses of a real company or a link between the reader and the author/CfI. The Tribunal does not accept any claim, promise or guarantee as to the accuracy, completeness or relevance of the information contained in the standard sheet above.
The advantage of the short format of the timesheet is first of all that it speeds up the process. Experienced consultants immediately know what is meant by "recording requirements at the transmitter`s expense, unlimited piggybacking at the issuer`s expense, weighted average anti-dilution"; He saves time for not having to express the long version of these references. Second, it is less likely that a court will find an unexpected change in sola, since the terminology sheet does not propose any agreement of any kind; A "declaration of intent" can be a dangerous document, unless it clearly states which parties should be binding and which parties merely guide the discussion and the project.