The General Contract For Services Agreement is a foundational document used when establishing a formal service relationship between a service provider and client in Malaysia. This agreement is essential when organizations need to engage external service providers while maintaining clear boundaries between service provision and employment relationships. It encompasses key elements required under Malaysian law, including service scope, payment terms, performance standards, and compliance with local regulations such as the Contracts Act 1950 and Service Tax Act 2018. The document is particularly valuable for businesses seeking to formalize service arrangements while ensuring proper risk allocation, confidentiality protection, and clear delineation of responsibilities between parties.
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1. Parties: Identifies and defines the service provider and client with their full legal names, registration numbers, and registered addresses
2. Background: Sets out the context of the agreement, including the client's need for services and provider's capability to deliver them
3. Definitions: Defines key terms used throughout the agreement for clarity and consistency
4. Scope of Services: Detailed description of services to be provided, including deliverables and performance standards
5. Term and Termination: Duration of the agreement, renewal terms, and circumstances for termination
6. Fees and Payment: Payment terms, fee structure, invoicing process, and payment timeline
7. Obligations of Service Provider: Key responsibilities and commitments of the service provider
8. Obligations of Client: Key responsibilities and commitments of the client
9. Intellectual Property Rights: Ownership and rights related to any IP created during service provision
10. Confidentiality: Protection of confidential information shared between parties
11. Liability and Indemnity: Limitations of liability and indemnification obligations
12. Force Majeure: Provisions for unforeseen circumstances preventing performance
13. Governing Law and Jurisdiction: Specifies Malaysian law as governing law and jurisdiction for disputes
14. General Provisions: Standard boilerplate clauses including notices, entire agreement, and amendments
1. Service Levels: Detailed performance metrics and standards, used when specific service levels need to be maintained
2. Data Protection: Specific provisions for handling personal data, required when personal data processing is involved
3. Non-Competition: Restrictions on competitive activities, used when protecting market position is crucial
4. Insurance: Insurance requirements, used when services involve significant risks or regulatory requirements
5. Anti-Corruption: Compliance with anti-corruption laws, particularly important for government contracts or high-value services
6. Assignment and Subcontracting: Rules for transferring rights or subcontracting, used when these possibilities need to be specifically addressed
7. Dispute Resolution: Detailed dispute resolution procedures, used when specific arbitration or mediation processes are preferred
1. Schedule 1 - Service Description: Detailed breakdown of services, methodologies, and delivery specifications
2. Schedule 2 - Fee Schedule: Detailed pricing structure, payment milestones, and any variable costs
3. Schedule 3 - Service Levels: Specific performance metrics, KPIs, and measurement methods
4. Schedule 4 - Contact Details: Key personnel and communication protocols for both parties
5. Appendix A - Required Forms: Standard forms for service requests, reports, or other documentation
6. Appendix B - Technical Requirements: Technical specifications or standards that must be met in service delivery
Authors
Relevant legal definitions
Clauses
Relevant Industries
Information Technology
Professional Services
Consulting
Construction
Healthcare
Education
Manufacturing
Logistics
Marketing and Advertising
Facilities Management
Engineering
Research and Development
Relevant Teams
Legal
Procurement
Operations
Finance
Compliance
Risk Management
Commercial
Business Development
Project Management
Relevant Roles
Legal Counsel
Contract Manager
Procurement Manager
Business Development Manager
Operations Director
Chief Financial Officer
Project Manager
Compliance Officer
Risk Manager
Commercial Director
General Manager
Chief Executive Officer
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