The Consulting Services Agreement is essential for businesses operating in Hong Kong that engage external consultants or professional service providers. This document is designed to comply with Hong Kong law and business practices, protecting both the client's and consultant's interests while clearly defining the scope of services, deliverables, and commercial terms. It is particularly important in establishing the consultant's status as an independent contractor rather than an employee, addressing intellectual property rights, and ensuring compliance with local data protection requirements. The agreement can be customized for various consulting arrangements, from short-term project-based engagements to longer-term strategic advisory relationships, and is suitable for both individual consultants and consulting firms.
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1. Parties: Identification of the parties entering into the agreement, including full legal names and addresses
2. Background: Context of the agreement and brief description of the parties' intention to enter into a consulting arrangement
3. Definitions: Definitions of key terms used throughout the agreement
4. Scope of Services: Detailed description of the consulting services to be provided
5. Term and Termination: Duration of the agreement and circumstances under which it can be terminated
6. Fees and Payment: Compensation structure, payment terms, and expenses
7. Consultant's Obligations: Key responsibilities and commitments of the consultant
8. Client's Obligations: Key responsibilities and commitments of the client
9. Intellectual Property Rights: Ownership and rights to work product and pre-existing IP
10. Confidentiality: Protection of confidential information and trade secrets
11. Data Protection: Compliance with Hong Kong's Personal Data (Privacy) Ordinance
12. Independent Contractor Status: Clear statement of consultant's status as independent contractor
13. Liability and Indemnification: Limitation of liability and indemnification provisions
14. Insurance: Required insurance coverage
15. General Provisions: Standard boilerplate clauses including governing law, notices, and entire agreement
1. Non-Competition: Restrictions on consultant's ability to work with competitors, used when consultant will have access to sensitive competitive information
2. Non-Solicitation: Restrictions on soliciting employees or clients, used when consultant will have significant contact with client's employees or customers
3. Service Levels: Specific performance metrics and standards, used for longer-term or complex engagements
4. Compliance with Client Policies: Requirement to comply with client's internal policies, used when consultant will work closely with client's organization
5. Force Majeure: Provisions for unforeseen circumstances, particularly relevant post-COVID
6. Assignment and Subcontracting: Rights to assign or subcontract services, used when flexibility in service delivery is needed
7. Audit Rights: Client's right to audit consultant's work and records, used in regulated industries or complex projects
1. Schedule 1 - Services Description: Detailed scope of work, deliverables, and timelines
2. Schedule 2 - Fee Schedule: Detailed breakdown of fees, rates, and payment milestones
3. Schedule 3 - Key Personnel: List of key consultant personnel assigned to the project
4. Schedule 4 - Service Levels: Detailed performance metrics and measurement criteria
5. Schedule 5 - Client Policies: Relevant client policies and procedures
6. Appendix A - Form of Invoice: Template for consultant's invoices
7. Appendix B - Change Order Form: Template for documenting changes to scope or fees
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