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Legal Openness Agreement

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LEGAL OPENNESS AGREEMENT

This Legal Openness Agreement (the Agreement) is made as of Effective Date: , by and between Client Name: , entity type , principal place of business: ; and Provider Name: , entity type , principal place of business:

RECITALS

WHEREAS, each party possesses or may develop certain written, electronic or other materials, data, code, documentation, policies or legal instruments (collectively, the Open Materials) that the parties desire to make available publicly or to third parties under the terms set forth in this Agreement; and

WHEREAS, the parties seek to define the scope of permitted disclosure, licensing, limitations, and responsibilities associated with the intentional public availability of Open Materials while preserving specified confidentiality and legal protections for excluded categories of information.

WHEREAS, the parties desire to encourage reuse, modification and redistribution of Open Materials by granting clear licenses and complying with applicable law.

NOW, THEREFORE, in consideration of the mutual covenants and promises set forth below, and other good and valuable consideration, the receipt and sufficiency of which are acknowledged, the parties agree as follows:

1. DEFINITIONS

1.1 "Open Materials" means the specific materials, data, documentation, code and other content that the Disclosing Party elects to make available under this Agreement. Description of Open Materials:

1.2 "Confidential Information" means information that is designated in writing as confidential at the time of disclosure or that, by its nature, would reasonably be understood to be confidential, excluding information expressly excluded under Section 3.1 below.

2. GRANT OF OPENNESS

2.1 Subject to the terms and exclusions of this Agreement, the Disclosing Party hereby grants to the Receiving Party and to the public a royalty-free, non-exclusive, worldwide, transferable, sublicensable, perpetual license to use, reproduce, modify, distribute and publicly display the Open Materials for any purpose, provided that any use of the Open Materials complies with the attribution and notice requirements set forth in Section 2.3.

2.2 The license granted under this Agreement does not transfer ownership of any intellectual property rights in the Open Materials; ownership remains with the Disclosing Party unless an express written assignment is executed.

2.3 Attribution and Notices: Any public distribution of Open Materials must reproduce any copyright, trademark, license and attribution notices included by the Disclosing Party, and must include the following notice: "Portions made available under the Legal Openness Agreement between the parties."

3. PERMITTED DISCLOSURES; EXCLUSIONS

3.1 Exclusions. Notwithstanding any grant of openness, the following categories shall be excluded from Open Materials unless expressly consented to in writing and initialed by the Disclosing Party: (a) trade secrets and proprietary algorithms; (b) personally identifiable information and data subject to privacy laws; (c) information subject to third-party confidentiality obligations; (d) attorney work product and privileged communications.

3.2 Required Disclosures. If a party is compelled by law, court order or administrative process to disclose any Open Materials or Confidential Information, that party shall, to the extent permitted by law, provide prompt written notice to the Disclosing Party and reasonably cooperate with the Disclosing Party to resist or narrow the required disclosure.

4. INTELLECTUAL PROPERTY; LICENSE CONDITIONS

4.1 Moral Rights. To the extent permitted by law, the Disclosing Party hereby waives any moral rights in the Open Materials for the purposes of enabling the public license granted by this Agreement.

4.2 License Conditions. Any sublicenses shall be subject to the same notice and attribution obligations as set forth herein. The Disclosing Party may specify additional reasonable conditions for the use of specified Open Materials by listing such conditions here:

5. REPRESENTATIONS AND WARRANTIES

5.1 Each party represents and warrants that it has the full right, power and authority to enter into this Agreement and to grant the rights and licenses set forth herein, and that, to the knowledge of the representing party, the exercise of such rights will not infringe the rights of any third party.

5.2 EXCEPT AS EXPRESSLY SET FORTH IN SECTION 5.1, THE OPEN MATERIALS ARE PROVIDED "AS IS" AND THE DISCLOSING PARTY DISCLAIMS ALL OTHER WARRANTIES, WHETHER EXPRESS, IMPLIED OR STATUTORY, INCLUDING WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, AND NON-INFRINGEMENT.

6. INDEMNIFICATION

6.1 Each party (the Indemnifying Party) shall indemnify, defend and hold harmless the other party (the Indemnified Party) from and against any and all claims, liabilities, losses, damages, costs and expenses (including reasonable attorneys' fees) arising out of a breach of the Indemnifying Party's representations, warranties or covenants under this Agreement or from the Indemnifying Party's willful misuse of Open Materials.

7. LIMITATION OF LIABILITY

7.1 IN NO EVENT SHALL EITHER PARTY BE LIABLE FOR ANY INDIRECT, INCIDENTAL, SPECIAL, CONSEQUENTIAL OR PUNITIVE DAMAGES, INCLUDING LOSS OF PROFITS OR LOSS OF BUSINESS, ARISING OUT OF OR RELATING TO THIS AGREEMENT, EVEN IF ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. THE AGGREGATE LIABILITY OF EITHER PARTY FOR ANY CLAIM ARISING UNDER THIS AGREEMENT SHALL NOT EXCEED ONE HUNDRED THOUSAND DOLLARS (USD 100,000) OR THE AMOUNT OF DIRECT DAMAGES PROVEN, WHICHEVER IS LESS. (ENTER CAP AMOUNT IF DIFFERENT):

8. TERM; TERMINATION; SURVIVAL

8.1 This Agreement commences on the Effective Date and continues until terminated by either party upon thirty (30) days' prior written notice. Termination shall not affect rights already granted to third parties or accrued obligations. The rights and obligations that by their nature survive termination, including Sections 2, 4, 5, 6, 7 and 11, shall survive termination.

9. NOTICES

Notices to Party A (Client):

Notices to Party B (Provider):

10. AMENDMENTS; WAIVER

10.1 No amendment, modification or waiver of any provision of this Agreement shall be effective unless it is in writing and signed by authorized representatives of both parties. The waiver by either party of a breach of any provision does not operate or be construed as a waiver of any subsequent breach.

11. GOVERNING LAW; ENTIRE AGREEMENT; SEVERABILITY; COUNTERPARTS

11.1 Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the jurisdiction specified below, without regard to conflict of law principles. Governance jurisdiction:

11.2 Entire Agreement. This Agreement constitutes the entire understanding between the parties with respect to its subject matter and supersedes all prior and contemporaneous agreements, understandings, negotiations and discussions, whether oral or written.

11.3 Severability. If any provision of this Agreement is held to be invalid, illegal or unenforceable by a court of competent jurisdiction, the remaining provisions will remain in full force and effect.

11.4 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an original and all of which together shall constitute one and the same instrument. Signatures delivered by electronic means shall be effective as originals.

MISCELLANEOUS PROVISIONS

12.1 No Admission. Nothing in this Agreement shall be deemed an admission of liability or wrongdoing by either party.

12.2 Remedies. The parties acknowledge that a breach of the obligations set forth in this Agreement may cause irreparable harm for which monetary damages may be an inadequate remedy; accordingly, each party shall be entitled to seek injunctive relief in addition to any other remedies available at law or in equity.

Client (Party A):

Party Label:

By:

Date:

Provider (Party B):

Party Label:

By:

Date:

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What a Legal Openness Agreement Covers

A Legal Openness Agreement is a written contract that records parties’ commitments to disclose, share, or make accessible specified legal, contractual, or operational information under defined terms. It sets the scope of permitted disclosures, required redaction or anonymization, recipient categories, handling and security responsibilities, retention and archival rules, and dispute-resolution procedures. The agreement may also specify permitted electronic formats and consent for electronic delivery and signatures. When executed consistent with federal and state e-signature law, it can be an enforceable part of a broader compliance or transparency program (see ESIGN Act, 15 U.S.C. §7001 et seq., and applicable state UETA statutes).

Why organizations use a Legal Openness Agreement

A Legal Openness Agreement clarifies disclosure duties, reduces disputes about information access, and establishes requirements for secure handling and retention. It defines exceptions and supports enforceability by confirming parties’ consent to electronic execution under ESIGN (15 U.S.C. §7001) and state UETA rules.

Why organizations use a Legal Openness Agreement

Who typically prepares or signs this agreement

Typical users who prepare or sign a Legal Openness Agreement include corporate counsel, compliance teams, and contracting parties.

  • Corporate legal departments managing disclosures, vendor audits, and policy compliance.
  • Healthcare providers coordinating permitted patient data sharing and research use under HIPAA.
  • Real estate and construction parties documenting information access during transactions and projects.

Signers usually include authorized officers, designated compliance managers, or external counsel; document signatory authority to avoid later disputes.

Essential sections to include in the agreement

Core components create clear obligations, specify permitted disclosures, define data handling and retention, and set signature and enforcement mechanics for the Legal Openness Agreement.

Scope and Definitions

Describe the parties, define 'Open Information' and 'Confidential Information', list covered data types and documents, and state explicit exclusions to reduce ambiguity in disclosure scope.

Disclosure Obligations

Specify permitted recipients, required notices, approval workflows, timing, and conditions for disclosure, including whether redaction or anonymization is required before sharing.

Data Handling

Set security measures such as encryption, access controls, permitted storage locations, and breach-notification steps; align measures with applicable laws when regulated data is involved.

Confidentiality Exceptions

List statutory or contractual exceptions (e.g., privileged communications), provide the assertion process, and document how exceptions are logged and justified.

Retention and Records

State retention periods, who maintains original records, revision procedures, and how superseded versions are archived for auditability and legal compliance.

Signatures and Execution

Identify authorized signers, acceptable signature methods (electronic or digital), effective date rules, and confirm that electronic signatures satisfy ESIGN/UETA requirements.

Step-by-step: complete and execute the agreement

Follow these steps to draft, approve, sign, and store a legally enforceable Legal Openness Agreement.

  • 01
    Prepare Draft: Assemble parties, define scope, and draft required clauses clearly.
  • 02
    Internal Review: Have legal and compliance review terms and redaction procedures before circulation.
  • 03
    Sign and Authenticate: Obtain authorized signatures and required authentication (email, SMS code, or higher).
  • 04
    Distribute and Archive: Send executed copies to parties and archive a certified copy with audit log.

Recommended online workflow settings

Suggested e-signature platform configuration to reduce friction and preserve evidentiary records when issuing the agreement.

Field Configuration
Authentication Method Email link | SMS code for added assurance
Signature Type Electronic signature with audit trail
Routing Order Sequential signer routing where approvals required
Audit Trail Enable capture of IP, timestamp, and action log

Where executed agreements are filed and shared

Typical routing destinations and filing steps after agreement execution.

  • Upload Document: Store master copy in secure document repository.
  • Assign Signers: Add authorized signers with designated routing order.
  • Signer Authentication: Confirm identity via email, SMS, or stronger methods.
  • Archive & Notify: Archive signed copy and notify stakeholders of availability.

Distribution channels and technical requirements

Choose delivery and storage methods that preserve integrity and meet any legal requirements for the document.

  • Supported Formats: PDF | DOCX | PDF/A
  • Integrations: CRM and cloud storage supported
  • Authentication Options: Email, SMS, KBA, or SSO

Ensure chosen channels support an audit trail, tamper-evident storage, and any required retention or access controls before distribution.

Timeframes and response expectations

Common timelines and deadlines connected to disclosure requests and agreement processing.

Response Period:

Specify how many days recipients have to respond or object.

Disclosure Delivery:

State the timeframe for producing requested documents.

Record Retention Start:

Retention typically starts at effective date or delivery date.

Revision Effective Date:

Amendments take effect on the date signed unless specified.

Audit Review Cycle:

Define frequency for compliance audits, e.g., annually.

Common mistakes to avoid when preparing the agreement

  • Using vague scope language that leads to competing interpretations and disputes over disclosure obligations.
  • Failing to document signatory authority, which can render signatures vulnerable to challenge in enforcement actions.
  • Omitting redaction instructions for sensitive data, increasing risk of inadvertent disclosure or regulatory violations.
  • Relying on weak signer authentication when the document governs highly sensitive or regulated information.

Potential legal and operational risks

Breach of Agreement: Contract damages and injunctive relief
Invalid Signature: Challenge to enforceability if execution improper
Regulatory Penalties: Fines for violating privacy laws
Unauthorized Disclosure: Reputational and contractual liability
Late or Missing Records: Sanctions or transactional delays
Improper Redaction: Data exposure and compliance violations

How common eSignature vendors compare for execution needs

Basic pricing and feature differences among popular eSignature platforms relevant to executing Legal Openness Agreements.

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 trial, no card Trial varies Trial varies Trial varies Trial varies
Bulk Send Yes Yes Yes Yes No
Audit Trail Yes Yes Yes Yes Yes
HIPAA Compliant Yes Yes Yes No No

Real-world examples of use

How organizations apply a Legal Openness Agreement to reduce friction and document compliance in common scenarios.

Martin Properties — Property Transactions

Local brokerage standardized openness clauses to speed closings and reduce in-person paperwork.

  • Reduced turnaround times for document exchanges.
  • I can process and execute all of these documents online with 100% compliance and built-in security, whether on mobile or offline, getting forms back efficiently.

BIS — Compliance Documentation

Enterprise team used standard openness terms to centralize vendor disclosures.

  • Improved audit readiness and control.
  • We felt most comfortable with airSlate SignNow given their SOC 2 certification and strict focus on ESIGN and UETA act compliance.

Frequently asked questions and practical answers

Answers to common legal and technical questions about creating, signing, and enforcing a Legal Openness Agreement.


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