SEPTEMBER 18 — A draft is a preliminary version of a piece of writing. It is not the final version.
A draft is therefore a version of something (such as a document) that you make before you make the final version. So, if you say you have just completed a rough draft of your speech, it means you have completed a first version that needs a lot of editing and rewriting before the final draft — that is the final version — is completed.
Accordingly, if you have a draft agreement or memorandum of understanding (MoU), it is a preliminary agreement or MoU between you and the other party. It is not legally binding until it is finalised and signed by both parties.
When two parties are negotiating on an agreement, they will often use a draft agreement as a way to outline the proposed terms of the agreement. This can be helpful in ensuring that both sides are on the same page and understand what is being proposed to be agreed upon.
A draft agreement is therefore also a proposal, which can help identify areas of disagreement to be addressed during negotiations. A draft helps the parties agree on the key terms of their agreement. It is during negotiations that a final draft can be agreed upon, which can then be signed.
One can see the many benefits of a draft agreement, namely:
(a) it provides certainty and clarity for both parties to an impending agreement;
(b) it protects each party’s interests by clearly outlining the terms of agreement and what is expected of each party;
(c) it can help avoid disputes by setting out the terms to be agreed from the outset.
In summary, a draft agreement is a preliminary document to be negotiated between the parties until a final version is agreed and signed.
One doesn’t outrightly reject a draft without negotiation.
* This is the personal opinion of the writer or publication and does not necessarily represent the views of Malay Mail.
