honest opinion, page-19

TraderReg,

Not sure what business you are in but maybe you never have been involved in MOU, and the verbals you are familiar with are worth what you paid for them.

But in big business, signing an MOU means each company is dedicating internal resources to help make the whole project grow, not a small matter. Japanese companies in particular stand by their MOU as long as they can. Often times, projects as in ESG's LNG its clear where the self interest lies i.e. a construction.

For MOU to be a successful MOU, you need to find where the self interest lies, because when all else turns to rubbish self interest is in their trying. MOU where you can't see self interest - and its definately what the signatories think they see in the other party when they sign - struggle. Of course people get duped, but as I said a company gets a reputation. Lawyers, bankers, consultants pass the word around pretty fast and corporate memory can be very long ~ people can remember dodgy practices and will recount them for up to ten years if the company and the persons involved are still in business.

So if you are casting a wide net that MOU are worthless you are plain wrong. You value an MOU by the quality of the companies involved.