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Recruitment Agency Agreement Template for Canada

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Key Requirements PROMPT example:

Recruitment Agency Agreement

"I need a Recruitment Agency Agreement for my tech startup based in Ontario, with exclusive agency rights for senior tech roles, including specialized terms for international candidate recruitment and a 90-day replacement guarantee."

Document background
The Recruitment Agency Agreement serves as the foundational document governing the professional relationship between recruitment agencies and their client companies in Canada. This document is essential when engaging external recruitment services for hiring needs, whether for permanent, temporary, or contract positions. The agreement encompasses crucial elements including service specifications, fee structures, confidentiality provisions, and compliance with Canadian federal and provincial employment laws, privacy regulations (PIPEDA), and human rights legislation. It provides clear guidelines for the recruitment process, candidate presentations, placement terms, and replacement guarantees while protecting both parties' interests through appropriate risk allocation and liability provisions. This agreement is particularly important in the Canadian context where recruitment practices must align with specific provincial employment standards and licensing requirements.
Suggested Sections

1. Parties: Identification of the recruitment agency and the client company, including full legal names and addresses

2. Background: Context of the agreement and brief description of the parties' business relationship

3. Definitions: Key terms used throughout the agreement, including 'Candidates', 'Placement', 'Services', 'Fees'

4. Scope of Services: Detailed description of recruitment services to be provided, including search, screening, and placement processes

5. Agency Obligations: Specific responsibilities of the recruitment agency, including compliance with laws and professional standards

6. Client Obligations: Client's responsibilities, including providing accurate job descriptions and timely feedback

7. Fees and Payment Terms: Fee structure, payment schedules, and conditions for fee payment

8. Confidentiality: Provisions for handling confidential information and data protection requirements

9. Privacy and Data Protection: Compliance with PIPEDA and provincial privacy laws regarding candidate information

10. Non-Solicitation: Restrictions on hiring agency staff or direct hiring of presented candidates

11. Warranties and Representations: Guarantees provided by both parties regarding their capacity and authority

12. Liability and Indemnification: Limitations of liability and indemnification obligations

13. Term and Termination: Duration of agreement and conditions for termination

14. General Provisions: Standard clauses including governing law, notices, and amendment procedures

Optional Sections

1. Replacement Guarantee: Terms for replacing candidates who leave within a specified period - used when offering placement guarantees

2. International Recruitment: Additional terms for international candidate recruitment - included when foreign worker recruitment is part of services

3. Volume Discounts: Special pricing for bulk hiring - included for large-scale recruitment arrangements

4. Exclusive Arrangement: Terms for exclusive recruiting rights - used in exclusive agency arrangements

5. Specialized Industry Requirements: Industry-specific compliance requirements - included for regulated industries

6. Multi-jurisdiction Services: Terms for recruiting across multiple provinces - used for nationwide services

7. Success-Based Pricing: Alternative fee structures based on placement success - used for performance-based arrangements

8. Background Check Services: Terms for conducting background checks - included when offering verification services

Suggested Schedules

1. Schedule A - Fee Structure: Detailed breakdown of all fees, including placement fees, retainers, and additional services

2. Schedule B - Service Level Agreement: Specific metrics and timeframes for service delivery and performance standards

3. Schedule C - Required Candidate Information: Template for candidate information and documentation requirements

4. Schedule D - Privacy Policy: Detailed privacy and data protection procedures compliant with Canadian laws

5. Schedule E - Replacement Guarantee Terms: Detailed terms and conditions of the replacement guarantee if offered

6. Appendix 1 - Standard Forms: Collection of standard forms used in the recruitment process

7. Appendix 2 - Reporting Templates: Templates for regular reporting and candidate presentations

8. Appendix 3 - Compliance Checklist: Checklist ensuring compliance with relevant employment and privacy laws

Authors

Alex Denne

Head of Growth (Open Source Law) @ ¶¶Òõ¶ÌÊÓÆµ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions








































Clauses









































Relevant Industries

Technology

Financial Services

Healthcare

Manufacturing

Retail

Professional Services

Education

Construction

Energy

Transportation

Telecommunications

Mining

Agriculture

Hospitality

Non-Profit

Relevant Teams

Human Resources

Legal

Procurement

Finance

Operations

Compliance

Executive Leadership

Talent Acquisition

Risk Management

Relevant Roles

Human Resources Director

Chief Human Resources Officer

Talent Acquisition Manager

Recruitment Manager

HR Business Partner

Legal Counsel

Corporate Counsel

Chief Legal Officer

Procurement Manager

Chief Financial Officer

Operations Director

Business Unit Manager

Chief Executive Officer

HR Operations Manager

Compliance Officer

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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