PbojanacHeads of Agreements are not binding contracts, although...

Pbojanac

Heads of Agreements are not binding contracts, although you would usually require each party to negotiate in good faith to reach a final binding contract. The Heads would however detail all the major comemrcial terms of the expected agreement- and although there would be some time required to get to a final binding contract I would think this would not take long at all and just represnet drafting issues more than substantive commercial impasses. I cant imagine an international major's Board considering a deal without having the commercial terms fleshed out and its why im expecting an announcment soon...