A Retainer Letter is essential for establishing formal ongoing professional relationships in the Indonesian market. This document is typically used when a client requires regular access to professional services over an extended period, rather than on a per-project basis. The Retainer Letter must comply with Indonesian law requirements, including the Civil Code (KUHPerdata), relevant professional regulations, and language requirements under Law No. 24 of 2009. It outlines key elements such as service scope, professional fees, payment terms, service standards, and communication protocols. This document type is particularly important in professional services sectors where regular, ongoing support is required, and it provides both parties with clarity on their rights, obligations, and the nature of their professional relationship.
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1. Letter Header: Professional letterhead, date, and reference number
2. Addressee Details: Full name and address of the client
3. Subject Line: Clear indication that this is a Retainer Letter/Engagement Letter
4. Opening Statement: Formal introduction and confirmation of the professional engagement
5. Scope of Services: Detailed description of services to be provided under the retainer
6. Professional Fees: Monthly/periodic retainer fee amount and what it covers
7. Payment Terms: Billing frequency, payment methods, and due dates
8. Term and Renewal: Duration of the retainer arrangement and renewal conditions
9. Service Standards: Commitment to quality and professional standards
10. Contact Details: Key contact persons and communication channels
11. Closing and Signature: Formal closing, signature blocks for both parties
1. Conflict of Interest Statement: Required when there might be potential conflicts with existing clients
2. Additional Services: Description of services not covered by the retainer and their billing arrangement
3. Team Composition: Include when specific team members will be dedicated to the client
4. Confidentiality Provisions: Detailed confidentiality terms when handling sensitive information
5. Limitation of Liability: Specific liability limitations when required by professional regulations
6. Foreign Language Version: Dual language version when dealing with international clients
7. Regulatory Compliance: Specific regulatory requirements for regulated professions
8. Insurance Coverage: Details of professional indemnity insurance when required
1. Schedule of Services: Detailed breakdown of included and excluded services
2. Fee Schedule: Detailed fee structure, including rates for additional services
3. Team Profile: CVs or profiles of key team members assigned to the client
4. Service Level Agreement: Specific performance metrics and service standards
5. Standard Terms and Conditions: Detailed terms and conditions referenced in the main letter
6. Power of Attorney: If required for specific actions on behalf of the client
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