JOINT VENTURE AGREEMENT AGREEMENT
This JOINT VENTURE AGREEMENT AGREEMENT is made on ________________,
20 between _________________ _____________________________
and __________________________________.
RECITALS
The Joint Venturers have agreed to make contributions to a common fund for
the purpose of acquiring and holding:_________________________________________________________
___________________________________ called the business interest. The Joint Venturers consider
it advisable to acquire and hold their business interest through a nominee so as to avoid the
necessity of numerous separate agreements, to maintain the legal title to the business interest
in a simple and practicable form and to facilitate the collection and distribution of the profitsaccruing under the business interest, and has agreed to act as nominee of the Joint Venturers
with the understanding that he is also acquiring a participating interest in this joint venture
on his own account, It is therefore agreed:
1. Purpose. The Joint Venturers form this joint venture to acquire and hold the business interest
in common and to provide the finances required for its acquisition. To the extent set forth in this
Agreement, each of the Joint Venturers shall own an undivided fractional part in the business.
The Joint Venturers appoint as their agent ___________________, whose duty it shall be to hold
each of the undivided fractional parts in the business interest for the benefit of and as agent
for the respective Joint Venturers.
2. Contributions. The Agent acknowledges that he has received from each of the Joint Venturers, for
the purpose of this joint venture, the sum set after the name of each Joint Venturer as follows:
Contribution to Name Joint Venture
3. Acquisition of Business Interest. The Agent is authorized to acquire and hold in his own name, but
on behalf of the Joint Venturers (of which the Agent is one), the business interest, and to
pay $__________ for it as follows: $__________ in cash, and the balance of $__________ by a note in
that amount. The note shall bear interest at the rate of ___%, shall be due and payable
on ___________________, with prepayment privileges, and shall be secured
by ____________________________________________ which the Agent is authorized to execute and deliver.
4. Profits. The Agent shall hold and distribute the business interest and shall receive the net profits
as they accrue for the term of this Agreement or so long as the Joint Venturers are the owners in
common of the business interest, for the benefit of the Joint Venturers as follows:
Name Proportion _________________ _______________________ _________________ _______________________
_________________ _______________________
5. Expenses of Venture. All losses and disbursements incurred by the Agent in acquiring, holding
and protecting the business interest and the net profits shall, during the period of the venture,
be paid by the Joint Venturers, on demand of the Agent, in the ratio which the contribution of each
Joint Venturer bears to the total contributions set forth in paragraph 2;
6. Liability of Agent. The Agent shall be liable only for his own willful misfeasance and bad faith
and no one not a party to this Agreement shall have any rights whatsoever under this Agreement against
the Agent for any action taken or not taken by him.
7. Term. This Agreement shall terminate and the obligations of the Agent shall be deemed completed on
the happening of either of the following events: (a) The receipt and distribution by the Agent of the
final net profits accruing under the business interest. (b) Termination by mutual assent of all joint
ventures.
8. Compensation of Agent. Unless otherwise agreed to in the future by a majority in interest of the
Joint Venturers, the Agent shall not receive any compensation for services rendered by him under
this Agreement.
In witness whereof the Agent and the Joint Venturers have signed and sealed this Agreement.
_________________________________________________ ___________________
_________________________________________________ ___________________
_________________________________________________ ___________________
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