To conclude, there's perhaps no more apt way to conclude this piece, than to quote this very fitting statement by contract law attorney, Ivan Hoffman, of California: "[Given that] the letter of intent is essentially a legally worthless document [but yet one that could potentially cause many serious legal problems for the signer]. It is not clear to me the reason any party would ever bother to create such a document and yet I have seen it used on many occasions."
Merger and Acquisitions Series _ Non_Binding Letter of Intent. One of the first steps in the merger and acquisition ("M&A") process after executing a confidentiality agreement ("Confi") or non_disclosure agreement ("NDA") is the issuance of a non binding letter of intent. A letter of intent, referred to as the "LOI", is a legal document that is provided to show interest in progressing with a transaction, such as to purchase, joint venture or merger.