Side Agreements are crucial legal instruments in Nigerian business practice, used when parties need to modify or supplement existing contractual arrangements without revising the main agreement entirely. They are particularly valuable when dealing with sensitive commercial terms that parties prefer to keep separate from the main contract, or when addressing specific aspects of the business relationship that emerged after the original agreement was signed. The Side Agreement must comply with Nigerian law, including the Companies and Allied Matters Act (CAMA) 2020, contract law principles, and relevant sector-specific regulations. These documents often contain confidential terms, pricing adjustments, operational modifications, or special arrangements that warrant separate documentation. The agreement's validity depends on proper execution by authorized signatories and compliance with Nigerian stamping and registration requirements where applicable.
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1. Parties: Identification of all parties to the side agreement, including their full legal names, registration numbers (if applicable), and registered addresses
2. Background: Context of the side agreement, reference to the main agreement, and explanation of why this side agreement is necessary
3. Definitions: Key terms used in the agreement, including references to definitions in the main agreement where applicable
4. Relationship to Main Agreement: Clear statement of how this side agreement relates to and interacts with the main agreement
5. Scope of Side Agreement: Specific details of the additional or modified terms being agreed upon
6. Duration: Term of the side agreement and whether it survives the main agreement
7. Confidentiality: Provisions regarding the confidential nature of the side agreement and its terms
8. Governing Law: Confirmation that Nigerian law governs the agreement
9. Execution: Signature blocks and execution requirements
1. Payment Terms: Include when the side agreement involves additional or modified financial arrangements
2. Performance Obligations: Include when establishing new or modified performance requirements
3. Intellectual Property: Include when the side agreement involves IP rights or licenses
4. Non-Competition: Include when adding or modifying competitive restrictions
5. Dispute Resolution: Include when specific dispute resolution procedures differ from the main agreement
6. Force Majeure: Include when force majeure provisions differ from the main agreement
7. Assignment: Include when transfer rights need to be specifically addressed
8. Regulatory Compliance: Include when specific regulatory requirements need to be addressed
1. Main Agreement Reference: Copy or extract of relevant sections from the main agreement being modified
2. Modified Terms: Detailed breakdown of specific terms being modified from the main agreement
3. Payment Schedule: If applicable, detailed breakdown of any modified or additional payment terms
4. Performance Metrics: If applicable, specific metrics or KPIs being introduced or modified
5. Required Approvals: List of any regulatory or corporate approvals obtained or required
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