Memorandum of understanding
Writing down what two sides have agreed in principle.
Opens Dastavo with this paper ready to fill, on this computer or in the app. No account needed.
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Not yet reviewed by a lawyer. Check every line before it is signed.
How the paper begins
With Dastavo's sample details; the people and places are fictional. The words in blue are the ones you fill in.
MEMORANDUM OF UNDERSTANDING
This memorandum is made and executed at Amarnagar on 12 October 2026 by and between:
Sharma Hardware, through its proprietor Kabir Sharma son of Shri Dev Sharma, aged about 44 years, resident of House No. 7, Basant Vihar, Amarnagar, Tehsil and District Amarnagar, Punjab (hereinafter called the "FIRST PARTY", which expression shall, unless repugnant to the context, include his heirs, legal representatives and assigns) of the FIRST PART.
AND
Verma Builders, through its proprietor Anil Verma son of Shri Ramesh Verma, aged about 31 years, resident of House No. 204, Sector 9, Shantipur, District Shantipur, Haryana (hereinafter called the "SECOND PARTY", which expression shall, unless repugnant to the context, include his heirs, legal representatives and assigns) of the SECOND PART.
NOW THIS DEED WITNESSETH AND THE PARTIES HEREBY AGREE AS UNDER:
1.That the parties intend to work together for supplying hardware for the second party's housing projects in Shantipur, and record their understanding as follows:
(a)the first party shall quote rates 5% below the market rate for one year
The rest of the paper is in Dastavo.
What to bring
Papers to bring
- For each party: identity proof and PAN; for a company, LLP or firm, its registration papers and the board resolution or authority letter of the person who signs
- The points both sides have agreed, and the letters, quotations or proposals they rest on
- Two witnesses, each with an identity proof
Where to go
Signed by both parties before two witnesses, usually on e-Stamp paper of the value the state fixes for an agreement; it is not usually registered. Notarising it is optional; each party keeps a signed original.
Fee
The e-Stamp duty follows the state's schedule for agreements; ask the e-Stamp centre for today's amount.
Good to know
- Decide whether it is binding: an MoU that only records an understanding usually cannot be enforced, except for the points it says bind, such as confidentiality.
- When the deal is final, sign a full agreement; the MoU ends on its date unless extended in writing.
- If land, money or shares change hands under it, the duty can be higher; ask the e-Stamp centre or a lawyer before signing.
Papers and fees can change. Check with the office before you go. Guidance only, not yet reviewed by a lawyer.
Stamp paper
Deeds and agreements carry stamp duty that depends on the state, the document and its value; some must be registered with the Sub-Registrar. Check the current duty and registration rules before printing on stamp paper.