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Partnership Service Agreement for Indonesia

Partnership Service Agreement Template for Indonesia

A comprehensive legal document governed by Indonesian law that establishes the terms and conditions of a partnership arrangement for the provision of specific services. This agreement outlines the roles, responsibilities, and obligations of all parties involved, including service delivery requirements, financial arrangements, and operational procedures. It incorporates relevant Indonesian regulatory requirements, including those from the Civil Code and business regulations, while providing a framework for successful collaboration between partners. The document addresses key aspects such as service levels, intellectual property rights, confidentiality, and dispute resolution mechanisms within the Indonesian legal context.

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What is a Partnership Service Agreement?

The Partnership Service Agreement is a crucial document used in Indonesian business relationships where two or more parties wish to formalize their collaboration for the provision of specific services. This agreement type is particularly relevant in the Indonesian market where partnerships between local and international entities are common and must comply with local regulations including the Indonesian Civil Code, Investment Law, and relevant sector-specific regulations. The document serves as a comprehensive framework detailing service delivery requirements, partnership terms, financial arrangements, and compliance obligations. It is especially important given Indonesia's complex regulatory environment and the need for clear delineation of roles and responsibilities in business partnerships. The agreement typically includes provisions for service levels, intellectual property protection, confidentiality, and dispute resolution mechanisms, all tailored to meet Indonesian legal requirements while facilitating effective business collaboration.

What sections should be included in a Partnership Service Agreement?

1. Parties: Identification and details of all parties entering into the agreement

2. Background: Context of the partnership and purpose of the agreement

3. Definitions: Definitions of key terms used throughout the agreement

4. Scope of Partnership: Detailed description of the partnership arrangement and its objectives

5. Services: Comprehensive description of services to be provided under the partnership

6. Term and Renewal: Duration of the agreement and conditions for renewal

7. Financial Terms: Payment terms, fees, revenue sharing, and financial obligations

8. Rights and Obligations: Detailed responsibilities and rights of each party

9. Performance Standards: Required service levels and quality standards

10. Intellectual Property: Ownership and usage rights of IP created or used in the partnership

11. Confidentiality: Protection and handling of confidential information

12. Termination: Conditions and procedures for ending the agreement

13. Governing Law: Specification of Indonesian law as governing law and jurisdiction

14. Dispute Resolution: Procedures for resolving disputes between parties

15. General Provisions: Standard legal provisions including notices, amendments, and severability

What sections are optional to include in a Partnership Service Agreement?

1. Compliance with Anti-Corruption Laws: Required when dealing with government contracts or high-risk sectors

2. Foreign Investment Provisions: Necessary when one party is a foreign entity

3. Data Protection: Required when services involve handling personal or sensitive data

4. Force Majeure: Optional but recommended for long-term partnerships

5. Insurance: Required when services involve significant operational risks

6. Non-Competition: Used when there are competitive concerns between partners

7. Personnel Requirements: Necessary when specific staff qualifications or certifications are required

8. Environmental Compliance: Required for partnerships involving environmental impacts

9. Local Content Requirements: Necessary when subject to Indonesian local content regulations

What schedules should be included in a Partnership Service Agreement?

1. Schedule A - Service Specifications: Detailed description of services, deliverables, and technical requirements

2. Schedule B - Fee Schedule: Detailed breakdown of fees, payment terms, and pricing mechanisms

3. Schedule C - Service Levels: Specific performance metrics, KPIs, and service level requirements

4. Schedule D - Authorized Representatives: List of designated contact persons and their authority levels

5. Schedule E - Required Permits and Licenses: List of regulatory approvals needed for the partnership

6. Appendix 1 - Operating Procedures: Detailed procedures for day-to-day operations and service delivery

7. Appendix 2 - Compliance Requirements: Specific regulatory and compliance requirements applicable to the services

8. Appendix 3 - Report Templates: Standard formats for required reporting and documentation

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

Indonesia

Publisher

Genie AI

Cost

Free to use

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