A Deed of Adherence is a formal legal document used when a new party joins an existing agreement. It ensures that the new party agrees to be bound by the same terms, rights, and obligations as the original signatories, without renegotiating or amending the original contract.
A Deed of Adherence is most often used for new parties joining a shareholders’ agreement or partnership agreement. Hence, when new investors, shareholders, or partners join a business they need to follow the rules already in place. It helps maintain consistency and legal clarity for all parties involved.
A Deed of Adherence (sometimes referred to as a "Deed of Accession") is a legal instrument used to bind a new party to the terms of a pre-existing contract. It is typically required under the terms of the original agreement whenever a new shareholder or stakeholder acquires an interest in a company, trust, or venture.
Rather than rewriting or renegotiating the original agreement, the new party signs a separate deed that "adheres" to the terms already in place.
A Deed of Adherence is commonly used when:
If your shareholders’ agreement includes a clause stating that new shareholders must sign a Deed of Adherence to become bound, this document is not optional—it’s a legal requirement.
With Bind, you can generate a Deed of Adherence tailored to your business needs in just minutes. Bind will guide you through the process and finalise the document for you including electronic signature and storage options.
You can also edit the document manually or with AI help to reflect any specific provisions in your original contract.
This Deed of Adherence (the “Deed”) is made and entered into by:
(1) [Company Name], a company incorporated in [Country], with Company Number [Number], and having its registered office at [Address] (“Party A”); and
(2) [Company Name], a company incorporated in [Country], with Company Number [Number], and having its registered office at [Address] (“Party B”); and
(3) [Company Name], a company incorporated in [Country], with Company Number [Number], and having its registered office at [Address] (“Party C”).
Background
Part A and Party B are bound by [Agreement Name and Date] (the "Original Agreement”). Party C has acquired an interest requiring adherence to the Original Agreement and wishes to become a party to it.
1. Rights and Obligations
The Party C shall have the same rights, benefits, and obligations as Party A and Party B under the Original Agreement, including but not limited to:
2. Agreement to Adhere
Party C agrees to be bound by the terms of the Original Agreement as if they were an original signatory. They confirm they have received and reviewed the Original Agreement and understand its content.
3. General Provisions
This Deed does not alter or amend the Agreement, except to add the New Party. All parties agree to maintain confidentiality and uphold the original terms of the Agreement.
4. Governing Law and Jurisdiction
This Deed is governed by the laws of [Country]. The parties submit to the exclusive jurisdiction of the courts of [City].
Signatures
This Deed has been signed digitally.
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