Common use of Good Faith Bargaining Clause in Contracts

Good Faith Bargaining. The parties are obligated to bargain collectively with one another in a good faith effort to reach agreement. Good faith means that each party: will deal with the chosen representatives of the other; will deal with the other honestly and in a bona fide effort to reach agreement; will meet at reasonable times and places to facilitate negotiations; will have the necessary authority to make proposals and counter-proposals, to compromise, and to make agreements subject to final ratification; will not assume positions at the beginning which it describes as fair and firm, and thereafter not subject to further negotiations. Such good faith bargaining does not mean that either party is compelled to agree to a proposal nor does it require the making of a concession.