Intercompany Contract Template

If you are working with different companies, it is essential to formalize your relationship with an intercompany contract. This contract is an agreement between two or more companies in the same group, laying out the terms and conditions of their relationship.

An intercompany contract template can be a helpful tool to ensure that your agreement is clear and comprehensive. Here are some key elements that you should consider when creating an intercompany contract template.

Scope of Work

This section of the intercompany contract template should outline the nature of the work to be performed by each company, who will be responsible for what tasks, and how the work will be completed. It is essential to specify the expected deliverables and timelines.

Pricing and Payment Terms

One of the most important aspects of any contract is payment terms. The intercompany contract should lay out how much each company will be paid and when these payments will be made. This section should also detail the payment method and any other financial terms and conditions.

Intellectual Property

This section should clearly outline the ownership and use of any existing or future intellectual property related to the work being performed. This could include patents, trademarks, copyrights, or trade secrets. It is also important to specify the terms of use and any licensing agreements.

Confidentiality and Non-Disclosure Agreements

If any sensitive information will be shared between the companies, it is crucial to include confidentiality and non-disclosure agreements in the contract. It should specify the types of information that are considered confidential, the duration of confidentiality, and the consequences of violating the agreement.

Termination and Dispute Resolution

Every contract should have clauses that detail how the agreement can be terminated and what happens if there is a dispute between the parties. The intercompany contract template should include these provisions and specify the process for resolving disputes and terminating the agreement.


Creating an intercompany contract template is an important step towards formalizing your relationship with other companies in your group. By specifying the scope of work, pricing and payment terms, intellectual property ownership, confidentiality and non-disclosure agreements, and termination and dispute resolution clauses, you can ensure that everyone understands their responsibilities and the terms of the agreement. This can help prevent any misunderstandings or disputes down the line, thus saving time and money.

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