Evaluation agreements are contracts in which one party agrees to test another party’s idea, product, or service, usually with the intention of investing in or buying the idea, product, or service if the test results are satisfactory. Evaluation agreements are also referred to as product evaluation, pilot, or trial agreements. Evaluation agreements are often conducted between software, biomedical and pharmaceutical research entities, such as universities or companies, and suppliers. For example, John Hopkins University has a standard Evaluation Agreement for suppliers of medical research equipment or software.
[Last updated in October of 2021 by the Wex Definitions Team]