Other undertakings: Overview, definition, and example
What are other undertakings?
"Other undertakings" refer to additional commitments, responsibilities, or promises made by one party in a contract or agreement, which are not necessarily part of the main obligations but are still relevant to the execution of the contract. These undertakings can cover a wide range of activities, such as providing additional services, meeting specific conditions, or fulfilling obligations that are supplementary to the primary terms of the agreement. "Other undertakings" might also refer to obligations that one party agrees to carry out to support the performance or success of the contract or project.
For example, in a construction contract, while the main obligation might be to build a structure, the "other undertakings" could include providing regular progress reports, maintaining safety standards, or ensuring compliance with environmental regulations.
Why are other undertakings important?
Other undertakings are important because they help clarify and define the full scope of obligations between the parties involved in a contract. They often support the main contractual terms and help ensure that the project, deal, or relationship proceeds smoothly and as expected. These additional commitments can also reduce the likelihood of disputes by setting clear expectations for all parties involved.
For businesses, recognizing and documenting "other undertakings" ensures that all parties are aware of their responsibilities, including secondary but necessary tasks that might impact the outcome of the primary agreement. These undertakings are often crucial for the proper execution of contracts or for addressing unforeseen circumstances that arise during the course of the agreement.
Understanding other undertakings through an example
Imagine a software development contract between a company (Client) and a developer (Contractor). The primary undertaking of the contractor is to deliver a software product by a specific deadline. However, the contract also includes "other undertakings" by the contractor, such as providing technical support for six months after the software launch, ensuring that the software complies with industry security standards, and offering training for the client’s staff. These additional undertakings help ensure the successful implementation and continued functionality of the software after delivery.
In another example, a business may enter into a lease agreement with a landlord, where the main undertaking of the landlord is to provide space. The "other undertakings" in this case might include maintaining the building's heating and cooling systems, providing regular pest control services, or ensuring that certain safety measures are in place.
An example of an "other undertakings" clause
Here’s how an "other undertakings" clause might appear in an agreement:
“In addition to the main obligations set forth in this Agreement, the Supplier agrees to the following other undertakings: (i) provide monthly progress reports to the Client, (ii) ensure compliance with all applicable safety regulations, and (iii) support the Client in training staff to operate the delivered product for a period of three months after installation.”
Conclusion
"Other undertakings" are important supplementary obligations that complement the main terms of a contract. While not always the central focus of the agreement, they help ensure the smooth performance of the contract and support the achievement of its objectives. Whether related to reporting, compliance, support services, or other activities, these undertakings are essential for clarifying expectations and preventing misunderstandings. For businesses and individuals, clearly defining "other undertakings" in contracts helps manage risk, maintain relationships, and ensure the overall success of the agreement.
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.