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Usage Contract for Malaysia

Usage Contract Template for Malaysia

A comprehensive legal agreement governed by Malaysian law that establishes the terms and conditions for the usage of specific products, services, facilities, or intellectual property. The document outlines usage rights, restrictions, payment terms, and obligations of all parties involved, while ensuring compliance with Malaysian regulations including the Contracts Act 1950 and Consumer Protection Act 1999. It includes provisions for term duration, termination conditions, liability limitations, and dispute resolution procedures specific to the Malaysian jurisdiction.

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What is a Usage Contract?

Usage Contracts are essential legal instruments in Malaysian business operations, utilized when one party grants another party the right to use specific assets, services, or intellectual property. This document type is particularly relevant in today's digital economy where sharing and licensing of resources is common. The Usage Contract, governed by Malaysian law, typically includes detailed terms about permitted use, restrictions, payment structures, and compliance requirements. It's designed to protect both the rights owner and the user while ensuring adherence to Malaysian regulations, including the Contracts Act 1950, Consumer Protection Act 1999, and where applicable, the Personal Data Protection Act 2010. The document serves as a crucial tool for businesses operating in Malaysia to formalize usage arrangements and mitigate potential disputes.

What sections should be included in a Usage Contract?

1. Parties: Identification of the parties entering into the agreement, including full legal names and registration details

2. Background: Context of the agreement and brief description of the purpose of the usage rights being granted

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

4. Grant of Usage Rights: Specific details of the usage rights being granted, including scope and limitations

5. Term and Duration: Period of the agreement, including start date and duration

6. Payment Terms: Details of fees, payment schedule, and payment methods

7. User Obligations: Specific responsibilities and obligations of the user while exercising the usage rights

8. Provider Obligations: Responsibilities and obligations of the provider in facilitating the usage

9. Intellectual Property Rights: Protection and ownership of intellectual property related to the usage

10. Confidentiality: Obligations regarding confidential information shared during the usage period

11. Termination: Conditions and processes for terminating the agreement

12. Governing Law: Specification of Malaysian law as the governing law and jurisdiction

13. General Provisions: Standard boilerplate clauses including notices, amendments, and assignment

What sections are optional to include in a Usage Contract?

1. Service Level Agreement: Include when the usage involves technical systems or platforms requiring specific performance standards

2. Data Protection: Include when personal data processing is involved, ensuring compliance with PDPA 2010

3. Insurance: Include when the usage involves physical assets or high-risk activities requiring insurance coverage

4. Security Requirements: Include when the usage involves sensitive information or secure systems

5. Disaster Recovery: Include when continuous availability of the usage rights is critical

6. Third-Party Rights: Include when the usage involves third-party products or services

7. Export Control: Include when the usage involves cross-border elements or restricted technologies

What schedules should be included in a Usage Contract?

1. Schedule 1 - Usage Specifications: Detailed technical specifications of the usage rights, including any limitations or restrictions

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

3. Schedule 3 - Service Levels: Specific performance metrics and service levels if applicable

4. Schedule 4 - Authorized Users: List of authorized users or user categories if usage is restricted

5. Appendix A - Technical Requirements: Technical requirements or specifications for exercising the usage rights

6. Appendix B - Support and Maintenance: Details of any support or maintenance services included with the usage rights

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

Use Agreement

Cost

Free to use
Relevant legal definitions
























Clauses






























Relevant Industries

Technology

Software

Manufacturing

Healthcare

Financial Services

Education

Real Estate

Telecommunications

Media and Entertainment

Professional Services

Retail

Energy

Relevant Teams

Legal

Operations

Compliance

Commercial

Information Technology

Risk Management

Facilities Management

Business Development

Product Development

Contract Administration

Relevant Roles

Legal Counsel

Contract Manager

Compliance Officer

Business Development Manager

Operations Director

Product Manager

Facilities Manager

IT Director

Risk Manager

Commercial Director

Chief Technology Officer

Licensing 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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