Purpose clause: Copy, customize, and use instantly
Introduction
A purpose clause explains the main goal or intent behind the agreement. It outlines what both parties aim to accomplish and defines the boundaries of their relationship. This helps ensure that everyone is on the same page and prevents confusion or misuse of the contract. It’s especially useful in complex agreements where the roles, services, or expectations need to be clear.
Below are purpose clause templates for different situations. Copy the one that fits, customize it, and include it in your contract.
General purpose clause
This clause clearly defines the overall goal of the agreement without restricting the parties' flexibility.
The purpose of this agreement is to outline the terms under which [Party A] will provide [services/products] to [Party B], with the aim of [general business objective].
Specific purpose clause
This clause focuses on a specific, clearly defined goal, limiting the scope of the contract.
The purpose of this agreement is to establish the terms under which [Party A] will supply [specific goods/services] to [Party B] for the purpose of [specific project or outcome].
Multi-purpose clause
This clause allows for more than one purpose under the agreement, often used in broader contracts.
The purpose of this agreement is to set forth the terms and conditions under which [Party A] will [services/products] to [Party B], including but not limited to [list of specific purposes].
Limiting purpose clause
This clause strictly defines the scope and limits the use of the agreement for specific purposes.
The purpose of this agreement is solely to facilitate [specific action, e.g., the delivery of services] between the parties and may not be used for any other purpose, unless agreed to in writing by both parties.
Broad purpose clause
This clause provides flexibility by defining the purpose in broad terms, leaving room for adaptation.
The purpose of this agreement is to establish the terms for cooperation between [Party A] and [Party B] in relation to [business activities], with the possibility of future collaboration in additional areas.
Purpose clause with specific deliverables
This clause outlines specific deliverables or outputs to be achieved under the agreement.
The purpose of this agreement is to set forth the terms under which [Party A] will deliver [specific deliverables] to [Party B] in accordance with the agreed-upon timeline and requirements.
Purpose clause with timeline
This clause includes a timeline along with the purpose of the agreement, providing clear expectations.
The purpose of this agreement is to define the terms and conditions under which [Party A] will [deliver services/perform actions] to [Party B] within [insert time period].
Limited-term purpose clause
This clause defines the purpose and specifies the duration for which the agreement will be valid.
The purpose of this agreement is to provide [Party A] with the opportunity to [services/products] to [Party B] for a period of [insert time period], after which the agreement will terminate unless renewed.
Conditional purpose clause
This clause specifies conditions under which the agreement’s purpose is valid or executable.
The purpose of this agreement is to outline the terms under which [Party A] will [service/product] to [Party B], contingent upon [insert condition, e.g., successful completion of a prerequisite action].
Clarifying purpose clause
This clause provides further clarification of the intended purpose, ensuring no ambiguity.
The purpose of this agreement is to set clear expectations regarding [services/products] to be provided by [Party A] to [Party B], specifically for [describe detailed objective or outcome].
Purpose clause for regulatory compliance
This clause connects the agreement’s purpose with compliance obligations.
The purpose of this agreement is to ensure compliance with [specific regulation/law], under which [Party A] will provide [services/products] to [Party B] as stipulated in [regulatory requirement].
Purpose clause for mutual benefit
This clause emphasizes a mutually beneficial objective.
The purpose of this agreement is to create a mutually beneficial relationship between [Party A] and [Party B], where both parties work together to achieve [joint objective].
Strategic partnership purpose clause
This clause defines the purpose of the agreement within the context of a strategic collaboration.
The purpose of this agreement is to formalize the strategic partnership between [Party A] and [Party B], aimed at mutually beneficial collaboration in the areas of [shared goals, e.g., marketing, product development, etc.].
Technology transfer purpose clause
This clause sets the purpose for a technology transfer agreement.
The purpose of this agreement is to establish the terms under which [Party A] will transfer the [technology, intellectual property, etc.] to [Party B], enabling [Party B] to [specific action, e.g., manufacture, use, commercialize].
Joint venture purpose clause
This clause defines the objective of a joint venture between two parties.
The purpose of this agreement is to create a joint venture between [Party A] and [Party B], where both parties will contribute resources and share in the profits and risks related to [specific business activity].
Service provision purpose clause
This clause focuses on the provision of services under the agreement.
The purpose of this agreement is to outline the terms under which [Party A] will provide [specific services] to [Party B] for the benefit of [Party B], to achieve [specific business goal or outcome].
License agreement purpose clause
This clause defines the specific purpose behind the licensing agreement.
The purpose of this agreement is to grant [Party A] the right to [use, distribute, etc.] [intellectual property or product] owned by [Party B] for [specific purposes or markets], under the terms outlined here.
Non-disclosure purpose clause
This clause sets out the scope of a non-disclosure agreement (NDA).
The purpose of this agreement is to ensure the confidentiality of sensitive information exchanged between [Party A] and [Party B] during discussions related to [project or partnership], with the intention of preventing unauthorized disclosure.
Research and development purpose clause
This clause details the purpose behind a research and development agreement.
The purpose of this agreement is to outline the collaboration between [Party A] and [Party B] in conducting research and development activities for [specific product, technology, or scientific breakthrough].
Employee benefits purpose clause
This clause specifies the purpose of an employee benefits plan under the agreement.
The purpose of this agreement is to establish the terms under which [Party A] will provide employee benefits, including but not limited to [healthcare, retirement plans, etc.], to the employees of [Party B].
Exclusivity purpose clause
This clause defines the purpose of an exclusive arrangement between two parties.
The purpose of this agreement is to grant [Party A] exclusive rights to provide [goods/services] to [Party B] for [specific period or region], thereby preventing [Party B] from engaging other providers for the same products/services.
Franchise purpose clause
This clause specifies the purpose of a franchise agreement.
The purpose of this agreement is to grant [Party A] the rights to operate a franchise of [Party B] under the terms and conditions set forth, including the use of [Party B]'s brand, system, and marketing materials.
Distribution purpose clause
This clause outlines the purpose of the distribution agreement.
The purpose of this agreement is to grant [Party A] the exclusive right to distribute [products/services] from [Party B] in [specified territory or market], according to the terms agreed upon.
Manufacturing purpose clause
This clause defines the purpose of a manufacturing arrangement.
The purpose of this agreement is to establish the terms under which [Party A] will manufacture [products] for [Party B] in accordance with the agreed specifications and timelines.
Supply chain purpose clause
This clause specifies the purpose of a supply chain agreement.
The purpose of this agreement is to formalize the terms under which [Party A] will supply [products/materials] to [Party B] for [specific project, production, or operation], ensuring timely and consistent delivery.
Investment purpose clause
This clause sets the purpose of an investment agreement.
The purpose of this agreement is to establish the terms under which [Party A] will invest in [Party B], with the intention of achieving [specific business goals, e.g., financial return, equity ownership].
Employment purpose clause
This clause outlines the purpose of the employment agreement.
The purpose of this agreement is to establish the terms and conditions of employment between [Party A] and [Party B], specifying the duties, compensation, and benefits to be provided during the term of employment.
Collaboration purpose clause
This clause defines the purpose of a collaborative partnership.
The purpose of this agreement is to formalize the collaboration between [Party A] and [Party B] to jointly develop [products/services], share expertise, and achieve mutual business objectives.
Licensing purpose clause
This clause specifies the purpose of a licensing agreement.
The purpose of this agreement is to grant [Party A] a license to use [intellectual property, technology, or brand] owned by [Party B] for [specific use or market], under the terms agreed upon.
Research purpose clause
This clause outlines the research objectives under the agreement.
The purpose of this agreement is to define the research activities that [Party A] will undertake on behalf of [Party B] in relation to [specific research field or project].
Loan purpose clause
This clause sets the purpose for a loan agreement.
The purpose of this agreement is to establish the terms under which [Party A] will lend [a specific sum] to [Party B], to be used exclusively for [specific purpose, e.g., business expansion, purchase of equipment].
Joint marketing purpose clause
This clause defines the purpose of a joint marketing agreement.
The purpose of this agreement is to formalize the joint marketing efforts between [Party A] and [Party B] to promote [products/services] in [specific market], using shared resources and strategies.
Event planning purpose clause
This clause outlines the purpose of an event planning agreement.
The purpose of this agreement is to set the terms under which [Party A] will plan, organize, and execute [event type, e.g., conference, exhibition] for [Party B], as per the agreed specifications and timelines.
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.