Junebug,

A memorandum of understanding ( MoU ) is a document or agreement between two or more parties that expresses a convergence of will between the parties, indicating an intended common line of action. It is often used in cases where parties either do not imply a legal commitment or in situations where the parties cannot create a legally enforceable agreement. But it is a more formal alternative to a gentlemen's agreement .

Whether or not a document constitutes a binding contract depends only on the presence or absence of well-defined legal elements in the text proper of the document (the so-called " four corners "). The required elements are: offer, consideration, intention ( consensus ad idem ), and acceptance. The specifics can differ slightly depending on whether the contract is for goods (falls under the Uniform Commercial Code [UCC]) or services (falls under the common law of the state).

http://en.wikipedia.org/wiki/Memorandum_of_understanding

So to answer your question, the MOU between Hollund and NorthCal could be a legally binding document as long as the four corners are present i.e., offer, consideration, intention ( consensus ad idem ), and acceptance.  We do know an offer was made, and it was accepted with the intention of follow through.  What we don't know for certain is the consideration.  However, the fact that Hollund is complying with everything NorthCal asks of them, suggests that consideration is present.