Capital Contribution

• Each partner is obligated to contribute capital as agreed in the JV agreement.
  
• Contributions may be in the form of cash, assets, technology, or intellectual property.
  
• Payment schedules and methods must be strictly followed.
  
• Non-contribution or delay can result in penalties or dilution of rights.
  
• Additional capital infusions, if needed, are usually based on mutual consent.
  

Participation in Management and Governance

• Partners must actively engage in governance through board or committee representation.
  
• They are expected to attend meetings and participate in strategic decisions.
  
• Roles and responsibilities for operational oversight may be assigned.
  
• Delegated authority must be exercised in good faith and the JV’s best interest.
  
• Decision-making must align with the business plan and agreement terms.
  

Compliance with Legal and Regulatory Requirements

• Partners are responsible for ensuring that the JV complies with applicable laws.
  
• This includes tax filings, statutory returns, labor laws, and environmental regulations.
  
• Partners must support regulatory inspections, audits, and information disclosures.
  
• They must ensure that their representatives act within legal and ethical boundaries.
  
• Violations may lead to joint liability or reputational damage.
  

Confidentiality and Non-Compete

• Partners must maintain the confidentiality of JV information during and after the term.
  
• Trade secrets, financial data, and business strategies must not be disclosed without consent.
  
• Non-compete obligations may prevent partners from engaging in competing businesses.
  
• Breach of these duties may result in damages, termination, or legal proceedings.
  
• Specific terms are defined in the agreement and may survive after exit.
  

Support and Cooperation

• Partners must act in good faith and uphold the mutual objectives of the JV.
  
• They are expected to share expertise, technology, or market access when agreed.
  
• Partners should avoid any act that harms the JV’s business or reputation.
  
• Cooperation in marketing, compliance, and operational execution is essential.
  
• Dispute resolution and performance monitoring require cooperation.