Joinder Letter Agreement
While many use the terms “Joinder” and “Joinder Agreement” interchangeably, Joinder is not the same as a Joinder agreement. To illustrate this, imagine an LLC operating contract with 10 signatories and a new member wants to join the LLC. A Joinder NDA agreement is essentially a confidentiality agreement that provides for the confidentiality of information exchanged during the process of a third party joining the original contract. See the following excerpts from the EDGAR Outhouse, each with the word Joinder: What is remarkable with a Joinder contract is that you don`t need all the original signing parties to sign up with the new party. When a new member signs the Joinder, that person is bound by the terms of the LLC enterprise agreement, as if it were an original signature. For example, an LLC may use a Joinder agreement to bind a new member under an existing enterprise agreement. A De Joinder agreement is a type of agreement that “adheres” to a new party to an existing agreement, as if the new party were part of the original agreement. … ensure that each of these approved subsidiaries becomes part of the guarantee by providing a guarantee to a Joinder which, in terms of form and content, is reasonably satisfactory to the required licensees. With a Joinder, you can quickly add a new part to your existing contract. Then, in the exhibition to which you refer, you add the presentation of your Joinder contract form, which will be signed by the new person. A Joinder contract is signed only by the new shareholder and legally leads to the inclusion of a new party in the original shareholding contract. In this case, you do not have to sign the Joinder contract of all 10 signatories with the new person, but only the new signatory will sign.
Another example is subcontracts. Joinder`s agreements are often used in mergers and acquisitions for the union of individual shareholders on the terms of a merger agreement or a shareholders` pact and in fiduciary practice for the union of a donor under the terms of the trust. Thus, it seems that in larger and more complex agreements, Joinder means “a document with which someone becomes a party to an existing contract.” By issuing shares to a new shareholder, the new shareholder must become a party to the existing shareholder contract. When a person is issued shares or equity in a capital company, a De Joinder agreement is used to make the new shareholder part of an existing shareholder pact. However, the customer may require that a Joinder be entered into with the subcontract to ensure that the subcontractor becomes a party to the original contract.