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Managed Services Agreement for Malaysia

Managed Services Agreement Template for Malaysia

This document is a comprehensive Managed Services Agreement governed by Malaysian law, designed to establish and regulate the ongoing provision of managed services between a service provider and customer. It incorporates key provisions required under Malaysian legislation, including compliance with the Personal Data Protection Act 2010, Contracts Act 1950, and relevant industry-specific regulations. The agreement covers essential elements such as service levels, performance metrics, data protection, confidentiality, liability frameworks, and operational governance, while addressing specific Malaysian legal requirements and business practices.

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What is a Managed Services Agreement?

This Managed Services Agreement is designed for use in the Malaysian market where organizations seek to outsource specific operational functions or services to specialized service providers. The agreement is structured to comply with Malaysian legal requirements, including the Contracts Act 1950 and sector-specific regulations. It is particularly relevant for arrangements where a service provider takes responsibility for managing and delivering specific business functions, IT services, or operational processes on an ongoing basis. The document includes comprehensive provisions for service delivery, performance management, data protection, risk allocation, and governance frameworks, while incorporating specific requirements of Malaysian law regarding contract formation, enforcement, and data protection. This agreement type is commonly used in both private and public sector arrangements, ranging from IT infrastructure management to business process outsourcing.

What sections should be included in a Managed Services Agreement?

1. Parties: Identification of the service provider and customer, including registered addresses and company details

2. Background: Context of the agreement, business relationship, and high-level purpose of the services

3. Definitions: Defined terms used throughout the agreement, including technical and operational terminology

4. Services Scope: Overview of services to be provided, service boundaries, and general obligations

5. Term and Renewal: Duration of the agreement, commencement date, and renewal provisions

6. Service Provider Obligations: Key responsibilities and commitments of the service provider

7. Customer Obligations: Key responsibilities and commitments of the customer

8. Charges and Payment: Pricing, payment terms, invoicing, and related financial provisions

9. Service Levels: Performance standards, measurement, and remedies for failure

10. Governance and Management: Contract management, reporting, meetings, and escalation procedures

11. Data Protection and Security: Compliance with PDPA and security requirements

12. Intellectual Property: Ownership and licensing of IP rights

13. Confidentiality: Protection of confidential information and trade secrets

14. Liability and Indemnities: Risk allocation, limitations of liability, and indemnification obligations

15. Force Majeure: Provisions for handling events beyond parties' reasonable control

16. Termination: Termination rights, consequences, and exit provisions

17. General Provisions: Standard boilerplate clauses including notices, assignment, and governing law

What sections are optional to include in a Managed Services Agreement?

1. Change Control: Procedures for managing changes to services or agreement terms - needed for complex or long-term agreements

2. Disaster Recovery: Business continuity and disaster recovery requirements - important for critical services

3. Staff and Key Personnel: Requirements for service delivery staff and key personnel - relevant when specific expertise is crucial

4. Third Party Contracts: Management of subcontractors and third-party providers - needed when subcontracting is involved

5. Compliance and Audit: Specific compliance requirements and audit rights - important for regulated industries

6. Insurance: Specific insurance requirements - relevant for high-risk services

7. Anti-Bribery and Corruption: Specific anti-corruption provisions - important for public sector or high-value contracts

8. Data Migration: Provisions for initial data migration - needed when service involves significant data transfer

9. Environmental Requirements: Environmental compliance and sustainability requirements - relevant for services with environmental impact

What schedules should be included in a Managed Services Agreement?

1. Service Description: Detailed description of each service component and delivery requirements

2. Service Levels and KPIs: Detailed service level definitions, measurements, and calculations

3. Charges: Detailed pricing, rate cards, and charging mechanisms

4. Customer Dependencies: Detailed customer responsibilities and requirements

5. Technical Requirements: Technical specifications and requirements for service delivery

6. Security Requirements: Detailed security policies and procedures

7. Business Continuity Plan: Detailed business continuity and disaster recovery procedures

8. Transition Plan: Implementation and service transition requirements

9. Exit Plan: Detailed termination assistance and exit management procedures

10. Governance Procedures: Detailed governance framework and processes

11. Form of Change Order: Template for documenting and approving changes

12. Approved Subcontractors: List of approved subcontractors and their roles

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 | Serial Founder & Legal AI Author

Jurisdiction

Malaysia

Publisher

Genie AI

Document Type

Agreement Contract

Cost

Free to use
Relevant legal definitions








































Clauses


































Relevant Industries

Information Technology

Telecommunications

Financial Services

Healthcare

Manufacturing

Retail

Professional Services

Energy

Education

Government and Public Sector

Relevant Teams

Legal

Procurement

Information Technology

Operations

Finance

Risk and Compliance

Commercial

Vendor Management

Service Delivery

Project Management

Relevant Roles

Chief Information Officer

Head of Procurement

Legal Counsel

Contract Manager

Operations Director

IT Director

Chief Technology Officer

Procurement Manager

Vendor Manager

Service Delivery Manager

Commercial Manager

Risk Manager

Compliance Officer

Chief Financial Officer

Project Manager

Industries









Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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