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Business Service Agreement for Hong Kong

Business Service Agreement Template for Hong Kong

A comprehensive legal agreement governed by Hong Kong law that establishes the terms and conditions for the provision of business services between a service provider and a client. This document outlines the scope of services, payment terms, performance standards, and mutual obligations while ensuring compliance with Hong Kong's legal framework, including the Contract Ordinance and Supply of Services (Implied Terms) Ordinance. It provides robust protection for both parties through detailed confidentiality, liability, and intellectual property provisions, along with specific requirements for service delivery and quality standards.

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What is a Business Service Agreement?

The Business Service Agreement serves as a fundamental legal instrument for establishing and managing professional service relationships in the Hong Kong business environment. It is essential for organizations engaging external service providers or offering professional services to clients, providing a structured framework that ensures clarity, protection, and compliance with Hong Kong law. This document is particularly valuable when businesses need to formalize service arrangements, define performance expectations, protect confidential information, and establish clear accountability measures. The agreement incorporates key elements required under Hong Kong's legal system, including compliance with the Contract Ordinance, data privacy regulations, and relevant commercial laws, making it suitable for both domestic and international business relationships within Hong Kong's jurisdiction.

What sections should be included in a Business Service Agreement?

1. Parties: Identifies and provides full legal details of all parties to the agreement

2. Background: Sets out the context and purpose of the agreement, including any relevant business relationship history

3. Definitions: Defines key terms used throughout the agreement for clarity and consistency

4. Scope of Services: Detailed description of the services to be provided under the agreement

5. Term and Commencement: Specifies the duration of the agreement and when it becomes effective

6. Fees and Payment Terms: Details the pricing structure, payment schedule, and payment methods

7. Service Provider's Obligations: Lists the key responsibilities and commitments of the service provider

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

9. Confidentiality: Provisions protecting confidential information exchanged during the business relationship

10. Intellectual Property Rights: Addresses ownership and usage rights of any IP involved in or created during the service provision

11. Data Protection: Ensures compliance with Hong Kong's Personal Data (Privacy) Ordinance and related requirements

12. Liability and Indemnification: Sets out the liability framework and indemnification obligations of both parties

13. Termination: Specifies conditions and procedures for ending the agreement

14. Force Majeure: Addresses unforeseeable circumstances that prevent fulfillment of obligations

15. Governing Law and Jurisdiction: Confirms Hong Kong law as governing law and jurisdiction for disputes

16. General Provisions: Standard boilerplate clauses including notices, entire agreement, and severability

What sections are optional to include in a Business Service Agreement?

1. Service Levels: Detailed service level agreements (SLAs) and performance metrics - include when specific performance standards are crucial

2. Change Control: Procedures for managing changes to services or terms - include for long-term or complex service arrangements

3. Insurance: Insurance requirements and obligations - include for high-risk services or when significant liability concerns exist

4. Audit Rights: Client's rights to audit service provider's performance - include when compliance or quality verification is important

5. Business Continuity: Disaster recovery and business continuity requirements - include for critical business services

6. Anti-Corruption: Anti-bribery and corruption provisions - include when dealing with public sector or high-risk jurisdictions

7. Staff and Subcontractors: Requirements for service provider's personnel and subcontracting rights - include when service delivery depends heavily on specific personnel

8. Non-Competition: Restrictions on competitive activities - include when sharing sensitive business information or methods

9. Marketing Rights: Rights to use customer name/logo for marketing - include when reference rights are desired

What schedules should be included in a Business Service Agreement?

1. Schedule 1 - Service Description: Detailed technical or operational specifications of the services

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

3. Schedule 3 - Service Levels: Specific performance metrics, measurement methods, and remedies

4. Schedule 4 - Key Personnel: List of key staff members and their roles in service delivery

5. Schedule 5 - Data Processing Agreement: Detailed terms for handling personal data in compliance with privacy laws

6. Schedule 6 - Change Request Form: Template for requesting and documenting changes to services

7. Appendix A - Contact Details: Contact information for key representatives and escalation points

8. Appendix B - Required Insurance Coverage: Specific insurance types and coverage levels required

Authors

Alex Denne

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

Jurisdiction

Hong Kong

Publisher

Ƶ

Cost

Free to use
Relevant legal definitions





































Clauses



































Relevant Industries

Information Technology

Professional Services

Management Consulting

Financial Services

Business Process Outsourcing

Healthcare Services

Marketing and Advertising

Engineering Services

Facilities Management

Education and Training

Telecommunications

Legal Services

Real Estate Services

Human Resources Services

Relevant Teams

Legal

Procurement

Operations

Commercial

Risk and Compliance

Finance

Business Development

Contract Management

Project Management

Vendor Management

Relevant Roles

Chief Executive Officer

Chief Operating Officer

Procurement Manager

Legal Counsel

Contract Manager

Business Development Manager

Operations Director

Commercial Director

Risk Manager

Compliance Officer

Project Manager

Service Delivery Manager

Account Manager

Finance Director

Chief Financial Officer

General Counsel

Head of Operations

Vendor 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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