Are electronic signatures valid on this agreement?

Yes. Electronic signatures are legally enforceable under the federal ESIGN Act (15 U.S.C. §7001) and state UETA laws where adopted, provided you can demonstrate intent to sign, consent to transact electronically, attribution, and reliable record retention.

When is notarization required?

Notarization depends on document content and state law. Deeds, some powers of attorney, and filings often require notarization. If notarization is required, use an in-person notary or a compliant RON process where the state permits remote notarization.

How do I confirm a signer has authority?

Require an authorized officer signature and retain supporting corporate resolutions or delegation letters. For companies, verify formation documents and check internal authority limits before execution to prevent later challenges.

Can I amend the agreement after signing?

Yes, but amendments should be in writing and signed by authorized parties. Keep a single executed amendment incorporated into the original agreement to avoid multiple conflicting versions.

How long should I keep the signed agreement?

Retain the signed agreement for the active term plus a post-termination period; follow IRS guidance (minimum 3 years, IRC §6501(a)) and industry-specific rules like HIPAA (6 years, 45 CFR §164.530(j)).

How do I revoke or cancel alternative terms?

Include a clearly defined revocation or termination clause. Follow the specified notice and cure periods; obtain written confirmation of termination and preserve the signed revocation for the record.

Electronic Signature
Templates
Miscellaneous
Business Alternative Agreement

Business Alternative Agreement

This template is fully customizable. Edit the text, fill out the fields, and send it for signature. Give it a try!

BUSINESS ALTERNATIVE AGREEMENT

This Business Alternative Agreement (the "Agreement") is made and entered into as of Effective Date:

Party A Name: Party A Address: Party B Name: Party B Address:

WHEREAS

WHEREAS, Party A is engaged in providing certain business services and solutions, and Party B seeks an alternative arrangement for the provision, delivery, or exchange of such services on terms that differ from a standard service agreement; and

WHEREAS, the parties desire to record the alternative terms, responsibilities, and remedies that will govern their relationship as set forth in this Agreement in lieu of other prior or contemporaneous understandings;

NOW, THEREFORE, in consideration of the mutual covenants contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows.

1. Scope of Work

Party A shall perform the services, deliverables, and obligations described below. The description shall include the alternative methods, milestones, deliverables, acceptance criteria, and any exclusions. Any change to the Scope of Work must be made in writing and signed by authorized representatives of both parties.

Describe Scope of Work:

2. Payment Terms

In consideration for the Scope of Work, Party B shall pay Party A the amounts set forth below in accordance with the schedule and conditions described. All amounts are in United States currency unless otherwise agreed in writing.

Total Contract Amount: Payment Schedule and Milestones:

Late payments shall accrue interest at the lesser of the maximum rate permitted by law or the rate specified below. Party B shall also be responsible for reasonable collection costs, including attorneys' fees, incurred by Party A in enforcing payment obligations.

Late Fee / Interest Rate:

3. Term and Termination

This Agreement commences on Start Date: and continues until End Date: unless earlier terminated in accordance with this Agreement.

Either party may terminate this Agreement for convenience upon providing written notice to the other party not less than days prior to the effective termination date. Either party may terminate immediately for material breach that is not cured within thirty (30) days after written notice.

4. Confidentiality

Each party (the "Receiving Party") shall keep confidential and shall not disclose or use any non-public information disclosed by the other party (the "Disclosing Party") that is designated as confidential or that reasonably should be understood to be confidential ("Confidential Information"), except as necessary to perform its obligations under this Agreement. Confidential Information shall not include information that (a) is or becomes publicly available through no fault of the Receiving Party, (b) is rightfully received from a third party without restriction, or (c) is independently developed by the Receiving Party without reference to the Disclosing Party's Confidential Information.

The confidentiality obligations shall continue for from the date of disclosure, unless a longer period is required by applicable law.

5. Governing Law

This Agreement shall be governed by and construed in accordance with the laws of the State of without regard to its conflict of laws principles. The parties submit to the exclusive jurisdiction of the state and federal courts located in that State for the resolution of disputes arising under this Agreement.

6. Entire Agreement

This Agreement, together with any exhibits, attachments, and written amendments signed by both parties, constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior and contemporaneous agreements, proposals, or communications, whether oral or written.

7. Miscellaneous

a) Assignment: Neither party may assign its rights or delegate its obligations under this Agreement without the prior written consent of the other party, except that Party A may assign to an affiliate or in connection with a sale of substantially all of its assets.

b) Amendments: Any amendment or modification of this Agreement must be in writing and signed by authorized representatives of both parties.

c) Severability: If any provision of this Agreement is held unenforceable, the remaining provisions shall remain in full force and effect.

d) Remedies: Except as otherwise provided herein, the parties' rights and remedies are cumulative and in addition to any other remedies available at law or in equity.

Party A:

By:

Date:

Party B:

By:

Date:

What a Business Alternative Agreement Is

A Business Alternative Agreement is a written contract that sets out optional or substitute arrangements between commercial parties when standard contract terms cannot be followed. It defines alternative performance methods, contingency plans, compensation adjustments, and timelines so parties know their rights and obligations if primary arrangements change. The document typically records the parties, the triggering conditions for alternatives, the scope of substituted obligations, any required approvals, and the term of the alternative arrangement to avoid ambiguity and reduce dispute risk.

Why this Agreement Matters for Business Continuity

A clear Business Alternative Agreement reduces ambiguity, preserves business relationships, and limits operational disruption by specifying fallback responsibilities, timelines, and remedies. It increases predictability for risk allocation and provides evidence of mutual consent if enforcement or regulatory review is needed.

Who Typically Prepares and Signs This Agreement

Use this template to standardize alternative terms across projects, clients, or internal teams.

Small and mid-size businesses that need standardized fallback processes without bespoke drafting.
In-house legal teams or outside counsel managing contract amendments and risk allocation.
Vendors, customers, and service providers negotiating temporary performance changes or alternative deliverables.

Typical Signers and Their Roles

Authorized Officer

A company officer or manager with delegated authority to bind the organization signs to accept alternatives. Ensure corporate resolution or delegation exists; mismatched authority can render the agreement void or subject to challenge in contract disputes.

Legal Counsel

In-house or external counsel often reviews and may countersign to confirm legal sufficiency. Counsel ensures alternative terms comply with governing law, regulatory obligations, and any third-party consent requirements tied to the original agreement.

Core Elements to Include in a Professional Agreement

A robust Business Alternative Agreement is concise but comprehensive: define triggers, alternative obligations, duration, compensation, notice procedures, governing law, and signature blocks.

Triggering Events

List precise events or conditions that activate the alternative terms, such as supply interruption, regulatory changes, force majeure, or failure to meet milestones.

Alternative Obligations

Describe substituted duties, deliverable changes, adjusted performance standards, and any temporary limitations on liabilities or warranties.

Compensation Adjustments

Specify price changes, credits, payment schedules, or cost-sharing arrangements tied to the alternative performance.

Notice and Approval

Define how parties must notify one another, required form of notice, approval thresholds, and any cure periods before alternatives apply.

Term and Reversion

State the effective date, duration of the alternative arrangement, and conditions under which original terms resume or the agreement terminates.

Governing Law

Name the state law that will govern interpretation and dispute resolution, and note whether arbitration or court litigation applies.

Step-by-Step: How to Complete the Agreement

Use this concise four-step checklist to prepare and finalize the Business Alternative Agreement correctly.

01

Prepare draft: Populate parties, triggers, and alternatives.
02

Review terms: Legal and finance review for compliance and cost impact.
03

Obtain signatures: Collect authorized electronic or wet signatures.
04

Retain record: Store signed agreement and audit trail securely.

Configure an Online Workflow for This Agreement

Set up a consistent routing and field configuration for repeatable electronic execution.

Field	Configuration
Signature Fields	Place signature and date fields for each signer
Conditional Clauses	Show alternate sections only when triggers apply
Authentication Method	Use email link or SMS code per signer risk level
Audit Trail Capture	Enable IP, timestamp, and action logging

Digital Signing and Delivery Considerations

Ensure the platform can retain a tamper-evident audit trail and meet any industry-specific compliance such as HIPAA or 21 CFR Part 11 when applicable.

Authentication: Email, SMS, or stronger methods
Document Formats: PDF, DOCX, and editable templates
Integrations: CRM and storage connectors useful

Typical Routing: From Draft to Signed Record

A standard eSignature workflow moves the agreement through preparation, signer sequence, authentication, signing, and final delivery.

Upload document: Add the template or draft file
Assign roles: Designate who signs and when
Authenticate signer: Use email link or SMS code
Complete and store: Save signed PDF plus audit trail

Key Timing and Deadlines to Track

Track execution and post-execution deadlines to preserve rights, meet notice periods, and satisfy tax or regulatory reporting obligations.

Signature Deadline:

Date by which all parties must sign to lock terms

Notice Periods:

Time windows for invoking alternatives or cures

Review Window:

Internal legal review before circulation

Notarization Window:

Timeframe for completing any required notarization

Retention Start:

Date from which retention periods are measured

Milestone Sequence for Managing Alternatives

Follow these sequential milestones to ensure alternatives are activated and tracked correctly.

01

Draft Approval

Internal sign-off collected before external routing

02

Execution

Signatures obtained and date-stamped

03

Verification

Authenticate identity and confirm receipt

04

Recordkeeping

Store signed document and audit records

Common Preparation Mistakes to Avoid

Leaving trigger conditions vague or subjective creates disputes over whether alternatives apply and increases litigation risk.
Failing to require written notice for activation leads to disagreements about timing and may prevent intended remedies from taking effect.
Using informal initials or internal approvals instead of authorized signatures can leave the agreement unenforceable against a corporate party.
Neglecting to record changes in a single signed document results in version confusion and weakens evidentiary value in disputes.

Key Risks and Potential Consequences

Unenforceable Terms: Vague clauses may be struck by a court

Authority Defect: Signing without authority can void obligations

Tax Exposure: Improper payment terms may trigger reporting issues

HIPAA Risk: Healthcare data mishandling causes penalties

Recordkeeping Failure: Loss of audit trail impedes enforcement

Operational Disruption: Delayed activation may cause supply interruptions

Sample eSignature Vendor Comparison for Executing the Agreement

A neutral vendor comparison shows starting prices and common feature availability; signNow is listed first per platform convention.

	signNow	DocuSign	Adobe Sign	PandaDoc	HelloSign
Starting Price	$8/user/mo	$15/user/mo	$14/user/mo	$19/user/mo	$15/user/mo
Free Trial	7-day free trial	No	No	Yes, limited	Yes, limited
Bulk Send	Yes	Yes	Yes	Yes	No
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes	Yes	Yes	No	No

Practical Tips for Accurate and Efficient Completion

Adopt these practices to reduce errors, accelerate execution, and preserve enforceability of alternative arrangements.

Draft with clear triggers

Define activation criteria with measurable thresholds, dates, or objective indicators so parties cannot reasonably disagree about whether the alternative applies.

Confirm signer authority

Verify that each signer has corporate authority or a written delegation; keep delegations or corporate resolutions with the agreement to support enforceability.

Document notices and approvals

Specify notice methods and retain copies of all communications; email threads and timestamped eSignature records help establish timelines and consents.

Maintain a single signed record

Consolidate amendments and alternatives into one signed document rather than relying on separate emails or unsigned attachments to avoid version disputes.

Real-World Examples of Use

These brief case summaries show how organizations applied alternative agreements to resolve operational challenges without litigation.

Optica Ventures (COO Brian Fitzgibbons)

Optica needed a streamlined fallback for delayed vendor deliveries.

"The interface is simple and easy-to-use for our team; more importantly, it is just as easy for our customers."
The agreement formalized temporary substitution of deliverables and shortened dispute timelines while preserving the original contract.

Martin Properties (Founder Tim Martin)

A property services firm used an alternative agreement during supply shortages.

"I can process and execute all of these documents online with 100% compliance and built-in security."
The document allowed temporary material substitutions and ensured tenants and vendors had clear expectations during the shortage period.

Security and Compliance Features to Verify

Encryption: TLS 1.2/1.3 in transit; AES-256 at rest

HIPAA Support: BAA available for covered workflows

Regulatory Standards: 21 CFR Part 11 compliance options

Audit Trail: Timestamp, IP, and action logging

Certifications: SOC 2 Type II and ISO 27001

Accessibility: WCAG 2.0 Level AA compatible

Frequently Asked Questions About Business Alternative Agreements

Answers to common questions about enforceability, signing authority, notarization, recordkeeping, and electronic execution in the United States.

Need help? Contact support

Are electronic signatures valid on this agreement?
Yes. Electronic signatures are legally enforceable under the federal ESIGN Act (15 U.S.C. §7001) and state UETA laws where adopted, provided you can demonstrate intent to sign, consent to transact electronically, attribution, and reliable record retention.
When is notarization required?
Notarization depends on document content and state law. Deeds, some powers of attorney, and filings often require notarization. If notarization is required, use an in-person notary or a compliant RON process where the state permits remote notarization.
How do I confirm a signer has authority?
Require an authorized officer signature and retain supporting corporate resolutions or delegation letters. For companies, verify formation documents and check internal authority limits before execution to prevent later challenges.
Can I amend the agreement after signing?
Yes, but amendments should be in writing and signed by authorized parties. Keep a single executed amendment incorporated into the original agreement to avoid multiple conflicting versions.
How long should I keep the signed agreement?
Retain the signed agreement for the active term plus a post-termination period; follow IRS guidance (minimum 3 years, IRC §6501(a)) and industry-specific rules like HIPAA (6 years, 45 CFR §164.530(j)).
How do I revoke or cancel alternative terms?
Include a clearly defined revocation or termination clause. Follow the specified notice and cure periods; obtain written confirmation of termination and preserve the signed revocation for the record.

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