Our transactional agreement template is a tool that provides a starting point when drafting various types of contracts, such as employment, financing, sales, lease, service, business, license, franchise, distribution agreements, etc. (for partnership agreements, refer to our Partnership Agreement Template Z03300).

This template uses our standardized system for organizing clauses that will put an end to the confusion currently found in most business agreements. Our innovative system organizes clauses based on a set of contractual “addresses” that are always identified by the same number and represent distinct contractual concepts. All our business agreements are organized according to this straightforward hierarchical structure, which facilitates contract analysis because the clauses are easier to find.

This template also proposes numerous standardized clauses, some of which are available in multiple versions, identified as “V1", V2, etc., so that you can choose the one that is most suitable.

We recommend using the transactional agreement template to draft any business transaction (other than for partnerships) where the applicable law does not require a mandatory form or stipulate specifications as to the form of the agreement.

The methodological system used in this document applies to all transaction-type business contracts, regardless of the jurisdiction that applies to the contract.

It should be noted that this template contains some clauses that depart from certain provisions of the Civil Code of Quebec because the concept of "freedom of contract" allows the parties to decide the terms of their agreement subject, however, to provisions of "public order" (whether in the CCQ or any other applicable laws, such as consumer protection or environmental laws, etc.) as well as case law.

With regard to its legal content, however, it should be noted that this template has been specifically designed according to the law of the province of Quebec, Canada. Any proposed use of this document for a jurisdiction other than the province of Quebec requires validation by a lawyer practicing in that jurisdiction.

0.00 INTERPRETATION
0.01 Definitions
0.01.01 Activities
0.01.02 Agreement
0.01.03 Breach
0.01.04 Confidential Information
0.01.05 Encumber / Encumbrance
0.01.06 Force Majeure
0.01.07 Improvements
0.01.08 Intellectual Property
0.01.09 Legal Representatives
0.01.10 Loss
0.01.11 PARTY
0.01.12 Prime Rate
0.02 Entire Agreement
0.03 Applicable Law
0.04 Non-Compliance
0.04.01 Severability
0.04.02 Substitute Provision
0.05 Miscellaneous
0.05.01 Cumulative Rights
0.05.02 No Waiver
0.05.03 Time Limits
0.05.04 Financial References
1.00 PURPOSE
1.01 Legal Transaction
1.02 Conditions
1.02.01 Required by PARTY A
1.02.02 Required by PARTY B
2.00 CONSIDERATION
2.01 Base Amount [OR Base Price]
2.02 Adjustment
2.03 Expenses
2.04 Estimated Value
3.00 TERMS OF PAYMENT
3.01 Base Amount [OR Base Price]
3.02 Adjustment
3.03 Promissory Note
3.03.01 Issuance
3.03.02 Scope
3.04 Interest
3.05 Loss of Term
4.00 SECURITY
4.01 Movable Hypothec With Delivery
4.02 Letter of Credit
4.03 Right of Ownership
5.00 MUTUAL REPRESENTATIONS AND WARRANTIES
5.01 Status
5.02 Authority
5.03 Binding Agreement
5.04 Insurance
5.05 Nominee
5.06 Independent Legal Advice
5.07 Disclosure
5.08 Legal Proceedings
6.00 REPRESENTATIONS AND WARRANTIES OF PARTY A
6.01 Important Facts
7.00 REPRESENTATIONS AND WARRANTIES OF PARTY B
7.01 Important Facts
8.00 MUTUAL DUTIES AND OBLIGATIONS
8.01 Confidential Information
8.01.01 Undertaking
8.01.02 Duration of Undertaking
8.01.03 End of Agreement
a) Request for Return
b) Destruction
8.01.04 Penalty
8.02 Insurance
8.03 Continuation of Representations and Warranties
8.04 Indemnification
8.04.01 Scope
8.04.02 Procedure
8.04.03 Duration of Representations and Warranties
8.05 Reimbursement of Legal Costs
8.06 Disclosure of Agreement
8.06.01 Undertaking
8.06.02 Default
8.07 Further Assurances
9.00 DUTIES AND OBLIGATIONS OF PARTY A
9.01 Non-Competition
9.01.01 Undertaking
a) Definition
b) Scope
9.01.02 Breach of Undertaking
a) Automatic Penalty
b) Payment
c) Protective Measures
9.01.03 Reasonableness of Clause
9.02 Non-Solicitation of Personnel
9.02.01 Scope of Undertaking
9.02.02 Breach of Undertaking
a) Automatic Penalty
b) Payment
c) Protective Measures
9.03 Non-Solicitation of Clients
9.03.01 Undertaking
a) Definitions
b) Scope
9.03.02 Breach of Undertaking
a) Automatic Penalty
b) Payment
c) Protective Measures
10.00 DUTIES AND OBLIGATIONS OF PARTY B
10.01 Intellectual Property
10.01.01 Assignment and Waiver
10.01.02 Use
10.01.03 Notice
10.01.04 Ownership of PARTY B
11.00 SPECIAL PROVISIONS
11.01 Assignment
11.01.01 Prohibition
11.01.02 Effect of Breach
11.01.03 Exception
11.02 Force Majeure
11.02.01 Limitation on Liability
11.02.02 Duty
11.02.03 Right of Other PARTY
11.03 Relationship Between the PARTIES
11.04 Reimbursement of Legal Costs
12.00 GENERAL PROVISIONS
12.01 Notice
12.02 Dispute Resolution
12.02.01 Written Notice and Meeting
12.02.02 Mediation
12.02.03 Arbitration
12.03 Choice of Forum
12.04 Amendment
12.05 No Waiver of Rights
12.06 Electronic Transmission and Signature
12.07 Language
13.00 TERMINATION
13.01 Expiry of Term
13.02 Mutual Consent
13.03 Event of Default
13.03.01 Without Notice
13.03.02 With Prior Notice
13.03.03 Change in Control
14.00 EFFECTIVE DATE
15.00 DURATION
15.01 Indefinite Duration
15.02 Initial Term
15.03 Renewal
15.03.01 First Renewal
15.03.02 Subsequent Renewals
15.04 Non-Renewal
15.05 Survival
16.00 SCOPE
16.01 PARTIES
16.02 Previous Agreements

SCHEDULE 2.01 – CONSIDERATION
SCHEDULE 3.03 – PROMISSORY NOTE
SCHEDULE 4.01 – MOVABLE HYPOTHEC WITH DELIVERY
SCHEDULE 4.02 – LETTER OF CREDIT
SCHEDULE 9.01.01 A – NON-COMPETITION - TERRITORY
SCHEDULE 9.03.01 A – NON-SOLICITATION - CLIENTS
SCHEDULE 9.03.01 B – NON-SOLICITATION - PRODUCTS AND SERVICES