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Retainer Agreement For Consulting Services Template for Malaysia

A comprehensive legal agreement governed by Malaysian law that establishes a retainer-based consulting relationship between a service provider (consultant) and a client. This document outlines the terms and conditions for ongoing consulting services, including scope of work, payment terms, service levels, and professional obligations. It incorporates relevant Malaysian legal requirements, including considerations under the Contracts Act 1950 and Service Tax Act 2018, while establishing clear independent contractor status in compliance with the Employment Act 1955. The agreement provides a framework for long-term professional services delivery while protecting both parties' interests through detailed confidentiality, intellectual property, and liability provisions.

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What is a Retainer Agreement For Consulting Services?

The Retainer Agreement For Consulting Services is designed for use in the Malaysian business environment where organizations require ongoing access to specialized expertise or services. This agreement is particularly valuable when a client anticipates regular need for consulting services and wishes to secure priority access to a consultant's time and expertise through a retainer arrangement. The document comprehensively addresses key aspects required under Malaysian law, including service scope, payment terms, professional obligations, and compliance requirements. It's structured to comply with Malaysian legal framework, particularly the Contracts Act 1950 and relevant professional services regulations, while clearly establishing independent contractor status. The agreement is suitable for various consulting arrangements, from strategic advisory to technical services, and can be customized to specific industry requirements while maintaining its core legal integrity.

What sections should be included in a Retainer Agreement For Consulting Services?

1. Parties: Identifies and provides full details of the consultant and the client

2. Background: Sets out the context of the agreement and the parties' intention to enter into a retainer arrangement

3. Definitions: Defines key terms used throughout the agreement

4. Appointment and Scope of Services: Establishes the consultant's appointment and outlines the general scope of services to be provided

5. Term and Termination: Specifies the duration of the agreement and circumstances for termination

6. Retainer Fee and Payment Terms: Details the retainer fee structure, payment schedule, and invoicing procedures

7. Consultant's Obligations: Lists the consultant's key responsibilities and service standards

8. Client's Obligations: Outlines the client's responsibilities and commitments

9. Confidentiality: Establishes confidentiality obligations for both parties

10. Intellectual Property: Addresses ownership and usage rights of any IP created during the engagement

11. Independent Contractor Status: Clearly establishes the consultant's status as an independent contractor

12. Limitation of Liability: Sets out the extent and limitations of the consultant's liability

13. Force Majeure: Addresses circumstances beyond parties' control affecting performance

14. Governing Law and Jurisdiction: Specifies Malaysian law as governing law and sets jurisdiction for disputes

15. General Provisions: Includes standard boilerplate clauses like notices, entire agreement, and amendments

What sections are optional to include in a Retainer Agreement For Consulting Services?

1. Non-Compete: Restricts consultant from competing activities - include when protecting market position is crucial

2. Non-Solicitation: Prevents poaching of employees/clients - relevant for consulting in sensitive business areas

3. Insurance: Specifies required insurance coverage - important for high-risk consulting services

4. Data Protection: Detailed data handling procedures - essential when personal data processing is involved

5. Service Credits: Defines performance metrics and related credits - useful for specific deliverable-based consulting

6. Compliance with Anti-Corruption Laws: Additional compliance obligations - important for government-related work

7. Assignment and Subcontracting: Rules for transferring rights or using subcontractors - when flexibility might be needed

What schedules should be included in a Retainer Agreement For Consulting Services?

1. Schedule 1 - Scope of Services: Detailed description of consulting services to be provided

2. Schedule 2 - Fee Schedule: Detailed breakdown of retainer fees, additional charges, and payment terms

3. Schedule 3 - Service Levels: Specific performance metrics and service standards

4. Schedule 4 - Key Personnel: Lists key consultant personnel assigned to the engagement

5. Schedule 5 - Client Materials and Resources: Details of materials and resources to be provided by the client

6. Appendix A - Reporting Requirements: Templates and requirements for regular reporting

7. Appendix B - Compliance Procedures: Specific procedures for maintaining regulatory compliance

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

Malaysia

Publisher

Genie AI

Cost

Free to use

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