What is the full form of MOU:

MOU represents Memorandum of Understanding.

It is an agreement between two or sometimes more parties which implies a convergence between them or describes a common line of action for all the parties. When the companies or organizations need to establish a partnership, then go for MOU. MOUS are mostly not a legal document, but the details mentioned in MOU are very important and are made with the mutual respect. They are much stronger than a gentlemens agreement.

Mostly, the initial step of making a legal contract is MOU. In maintaining the multinational international relationships, MOU plays a very vital role. MOUs are helpful are they take short time in making also they can be used in modifying the legal treaties which already exist. MOUs are mostly kept confidential. MOUs can be binding contracts also, depending on the way it is defined in the contract.