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Memorandum: Definition, Example and Related Terms

What is a Memorandum ?

A Memorandum, often referred to as a 'memo', is a written document that records the key points of an agreement or contract between parties. It's like a note-to-self or a summary, but in a more formal context. It's used when two or more parties come together to discuss something and want to make sure they remember what was agreed upon. It's not necessarily legally binding like a contract, but it serves as a record of the agreement.

Here's an interesting fact: The term 'Memorandum' comes from the Latin word 'memorandum est', which means 'It must be remembered'. This reflects its purpose - to ensure that the details of an agreement are not forgotten.

A Memorandum of Understanding is related but serves a different purpose.


  • Scenario Example
    Company Merger Two companies planning to merge may create a memorandum outlining the key terms of the merger, such as division of assets and responsibilities.
    Product Development A tech company may create a memorandum to record the agreement with a partner company for developing a new product.
    Event Planning An event planning team may draft a memorandum to record the agreement with a client about the details of the event.
    Project Collaboration Two research institutions may create a memorandum to record the terms of their collaboration on a joint research project.

Related terms