Sub Affiliation Sample Clauses
The Sub Affiliation clause defines the relationship between a party and its subsidiaries or affiliates in the context of the agreement. Typically, it clarifies whether the rights and obligations under the contract extend to entities that are controlled by, or under common control with, the main contracting party. For example, this clause may specify if a parent company’s subsidiaries are also bound by the agreement’s terms or entitled to its benefits. Its core function is to ensure clarity regarding which entities are covered by the contract, thereby preventing disputes about the scope of parties’ responsibilities and entitlements.
POPULAR SAMPLE Copied 2 times
Sub Affiliation. The Affiliate may affiliate subgroups to it where local law requires such sub-affiliations. When such sub-affiliations are formed, Affiliate shall enter into affiliation agreements with such sub-affiliates, which shall be considered secondary to this agreement and may not contravene this agreement. The sub-affiliate agreement must contain a clause stating that the sub-affiliate will abide by the terms of this Agreement. In such circumstances, the SCA, Inc. agrees to abide by the terms of this Agreement with respect to such sub-affiliates.