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Joint Venture / Consortium Agreement to Provide Service

4 Parties - No Indemnity

Looking for an unincorporated joint venture/consortium agreement for a specific project? Our agreement covers 4 parties with a JV leader and no indemnity between participants, providing services to clients in a particular jurisdiction.

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Document Description

The Joint Venture / Consortium Agreement to Provide Service is a crucial document that outlines the terms and conditions for a joint venture between multiple parties to provide services. This agreement is entered into by the JV Leader, Participant 1, Participant 2, and Participant 3. The importance of this document lies in its ability to establish a clear understanding and agreement among the participants regarding their roles, responsibilities, and obligations.


The entire document is divided into several sections, each serving a specific purpose. The interpretation section provides definitions for key terms used throughout the agreement, ensuring clarity and consistency in understanding. The joint venture section establishes the formation of the joint venture and outlines its purpose, which includes preparing and submitting a proposal to the client, providing additional information or negotiating with the client, entering into a services agreement, and performing all services related to the project.


The proposal submission section outlines the process for preparing and submitting the proposal to the client. It emphasizes the joint effort required by the participants and designates the JV Leader as the coordinator of the proposal preparation. It also highlights the importance of not making any changes or providing additional information without the consent of all participants until the services agreement is effective.


The performance of work section emphasizes the importance of carrying out the services in accordance with the terms and conditions of the services agreement and this agreement. It clarifies that each participant is responsible for fulfilling their obligations as prescribed in Schedule 3, subject to any amendments agreed upon by the participants. It also states that any alterations or additions to the services require the consent or instructions of the client.


The language section specifies that the agreement shall be written and interpreted in English. This ensures consistency and avoids any potential misunderstandings due to language barriers. The exclusivity section prohibits participants from engaging in any activity related to the project outside of the joint venture, ensuring focus and commitment to the joint venture's objectives.


The executive authority section establishes the decision-making authority within the joint venture. It outlines the roles and responsibilities of the policy committee, which consists of the representatives of each participant. The committee is responsible for making decisions on policies and resolving any disputes that may arise.


The documents section emphasizes the importance of using the joint venture's name on all documents produced in connection with the project. It also requires the services manager to sign all documents related to the performance of work, unless they concern the interpretation of the services agreement or alterations to its terms.


The personnel section highlights the need for each participant to assign a sufficient number of employees to the project to ensure compliance with the agreement. It also allows participants to invite sub-consultants with the approval of the client and the agreement of the participants.


The assignment and third parties section restricts participants from selling, assigning, or disposing of any rights or interests under the agreement without the consent of the participants. It also clarifies that the agreement does not confer any rights or causes of action upon third parties.


The dispute resolution section provides a mechanism for resolving disputes between participants, including the declaration of a defaulting participant and the reassignment of their obligations. It also addresses the financial implications and responsibilities in the event of a default.


The duration of the agreement section specifies the termination conditions of the agreement, including the termination upon the non-acceptance of the proposal by the client or the completion or termination of the services agreement.


The liability section outlines the responsibilities of each participant for the works or services for which they are deemed responsible. It also emphasizes the need for cooperation and provision of information in defending any claims arising from the performance of obligations.


The insurance section requires each participant to maintain insurance coverage for legal liabilities arising from the works or services for which they are responsible.


The promotional and project costs, profits, losses, and remuneration section addresses the reimbursement of promotional costs and expenses incurred by participants. It also covers the sharing of profits, losses, and remuneration in accordance with Schedule 4.


The financial administration and accounting section assigns responsibilities for financial administration services, including accounting procedures, records and accounts maintenance, preparation of joint venture/consortium invoices, and handling of advance payments.


The guarantees and bonds section addresses the provision of guarantees and bonds by participants and their responsibility for administration and extensions.


The dispute resolution section provides a jurisdiction clause for resolving any disputes arising from the agreement.


The notices and service section outlines the requirements for giving notice under the agreement, including the methods of service and the addresses of the parties.


The entire agreement section confirms that this agreement constitutes the entire agreement between the parties, superseding any previous heads of agreement or memorandum of understanding. It clarifies that no party has relied on any representations, warranties, or undertakings not expressly set out in the agreement.


The amendment section specifies that any variations to the agreement must be in writing and signed by the parties.


The no rights of third parties section clarifies that third parties have no right to enforce any terms of the agreement.



How to use this document?

To use this Joint Venture / Consortium Agreement effectively, follow these steps:


1. Familiarize yourself with the entire agreement: Read the agreement thoroughly to understand its purpose, sections, and clauses.

2. Identify the roles and responsibilities: Determine the specific roles and responsibilities of each participant as outlined in Schedule 3. Ensure that all participants are aware of their obligations.

3. Coordinate the proposal preparation: If you are the JV Leader, take the lead in coordinating the preparation of the proposal. Ensure that all participants contribute their expertise and fulfill their allotted functions.

4. Seek unanimous consent for changes: Once the proposal has been submitted to the client, avoid making any changes or providing additional information without the unanimous consent of all participants. This ensures consistency and avoids misunderstandings.

5. Perform services in accordance with the agreement: Carry out the services in accordance with the terms and conditions of the services agreement and this agreement. Refer to the agreement whenever necessary to ensure compliance.

6. Establish effective communication: Maintain open and effective communication among participants. Attend policy committee meetings as required and cooperate with the JV Leader and other representatives.

7. Use the joint venture's name on documents: Ensure that all documents produced in connection with the project bear the name of the joint venture. This promotes a unified and professional image.

8. Assign sufficient personnel: Assign an adequate number of employees to the project to fulfill the obligations and responsibilities outlined in the agreement. Consider engaging sub-consultants with the approval of the client and agreement of the participants.

9. Comply with financial administration procedures: Follow the financial administration procedures outlined in Schedule 2. Keep accurate records, prepare joint venture/consortium invoices as required, and handle advance payments effectively.

10. Maintain insurance coverage: Maintain insurance coverage as required by the agreement to protect against legal liabilities arising from the works or services.

11. Resolve disputes amicably: In the event of a dispute, follow the dispute resolution process outlined in the agreement. Seek to resolve disputes amicably and in the best interests of the joint venture.

12. Keep all parties informed: Notify all parties of any changes to names, addresses, or contact details. Ensure that all notices and communications are served in accordance with the agreement.


By following these steps, you can effectively utilize the Joint Venture / Consortium Agreement to Provide Service and ensure a smooth and successful collaboration among the participants.

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