The Master Framework Agreement is designed for businesses seeking to establish a long-term commercial relationship under Hong Kong law while maintaining flexibility for future specific arrangements. It is particularly useful when parties anticipate multiple transactions or service engagements over time and want to avoid negotiating full terms for each interaction. The document incorporates key provisions required under Hong Kong law and commercial practice, including electronic transaction provisions, data protection requirements, and dispute resolution mechanisms. It typically includes both mandatory terms that apply to all future transactions and flexible elements that can be customized through subsequent order documents or statements of work. This type of agreement is especially valuable for businesses operating in Hong Kong's dynamic commercial environment, where speed and efficiency in executing transactions must be balanced with legal certainty and risk management.
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1. Parties: Identification of the contracting parties, including full legal names, registration numbers, and registered addresses
2. Background: Context of the agreement, relationship between parties, and general purpose of the framework arrangement
3. Definitions and Interpretation: Comprehensive definitions of terms used throughout the agreement and rules of interpretation
4. Structure and Scope: Overview of how the framework operates, relationship with subsequent agreements, and scope of covered activities
5. Ordering Process: Procedures for placing and accepting orders under the framework, including form and content requirements
6. Term and Termination: Duration of the framework agreement, renewal provisions, and circumstances allowing termination
7. Obligations of the Parties: Core obligations of each party under the framework arrangement
8. Prices and Payment: Pricing principles, payment terms, invoicing requirements, and price adjustment mechanisms
9. Compliance with Laws: Requirements for compliance with applicable laws, regulations, and obtaining necessary permits
10. Confidentiality: Protection of confidential information exchanged under the agreement
11. Intellectual Property: Ownership and licensing of intellectual property rights
12. Liability and Indemnities: Allocation of risks, limitation of liability, and indemnification obligations
13. Force Majeure: Events excusing performance and procedures for handling force majeure situations
14. Dispute Resolution: Procedures for resolving disputes, including jurisdiction and governing law
15. General Provisions: Standard boilerplate clauses including notices, amendments, assignment, and entire agreement
1. Data Protection: Required when personal data will be processed under the agreement, addressing compliance with the Personal Data (Privacy) Ordinance
2. Anti-Corruption: Additional compliance provisions when dealing with government entities or high-risk jurisdictions
3. Insurance: Specific insurance requirements when activities under the framework involve significant operational risks
4. Service Levels: Include when the framework covers service provision with specific performance requirements
5. Environmental Compliance: Required when activities have environmental impacts or for ESG compliance
6. Staff and Subcontractors: Include when services involve deployment of personnel or use of subcontractors
7. Change Control: Required for complex arrangements where formal process for changes is needed
8. Business Continuity: Include for critical services or long-term strategic relationships
9. Import/Export Controls: Required when framework involves international trade or technology transfers
1. Schedule 1 - Services/Products Description: Detailed description of services or products covered under the framework
2. Schedule 2 - Pricing Schedule: Detailed pricing structure, rates, and any volume discounts
3. Schedule 3 - Service Levels and KPIs: Performance metrics and measurement criteria
4. Schedule 4 - Form of Order: Template for placing orders under the framework
5. Schedule 5 - Technical Requirements: Technical specifications and standards
6. Schedule 6 - Contact Details: Key contacts and notice details for both parties
7. Schedule 7 - Governance and Reporting: Management structure and reporting requirements
8. Appendix A - Data Processing Agreement: Standard terms for personal data processing if applicable
9. Appendix B - Information Security Requirements: Security standards and protocols for data protection
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