What is the difference between filing a Letter of Intent and an Affiliation Agreement?
The Letter of Intent was a formal yet non-binding document that allowed both organizations to enter into a period of analysis and negotiation that was the basis for the terms set forth in the Affiliation Agreement. An Affiliation Agreement is a binding legal document filed with the state’s Attorney General’s Office as well as federal regulatory bodies that outlines the specifics of how the proposed affiliation would be managed and governed. It also reviews the charitable missions of both organizations to ensure both remain intact and relevant to the communities they serve. Upon receipt of regulatory approvals and the final approval of the parties’ boards and the Bishop, the transactions described in the Affiliation Agreement will be completed.
