The Engagement Confirmation Letter is a crucial business document used in the Indonesian market to formalize professional service arrangements between service providers and their clients. This document type is commonly used when professional services firms, consultants, or advisors are engaged to provide specific services to clients. The letter serves as a formal confirmation of the engagement terms, combining elements of both a professional services agreement and a formal business letter, while ensuring compliance with Indonesian legal requirements. The document must adhere to Indonesian law, including the Civil Code (KUHPerdata) and language requirements under Law No. 24 of 2009. It typically includes essential information such as scope of services, fees, timeline, team composition, and key terms, while maintaining the formality and structure expected in Indonesian business communications. The Engagement Confirmation Letter is particularly important in establishing clear expectations, protecting both parties' interests, and providing a foundation for the professional relationship.
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1. Letter Header: Company letterhead, date, reference number, and recipient's complete address and details
2. Salutation: Formal greeting to the appropriate contact person
3. Subject Line: Clear indication of the purpose of the letter - Engagement Confirmation for [specific service]
4. Introduction: Brief statement thanking the client for selecting the firm and confirming the intention to provide services
5. Scope of Services: Detailed description of the specific services to be provided, including any limitations or exclusions
6. Team Composition: Key personnel who will be involved in providing the services and their roles
7. Fees and Payment Terms: Clear statement of fees, payment schedule, and method of payment
8. Timeline: Expected duration or key milestones for the engagement
9. Client Responsibilities: Outline of what is expected from the client for successful service delivery
10. Confidentiality: Statement regarding the confidential treatment of information
11. Closing and Acceptance: Instructions for confirming acceptance and returning the signed letter
12. Signature Blocks: Space for both parties to sign, including name and title
1. Conflict of Interest Statement: Required when there might be potential conflicts that need to be disclosed and addressed
2. Professional Standards Reference: Include when the engagement involves regulated professional services or specific industry standards
3. Insurance Coverage: Add when specific insurance or liability coverage needs to be highlighted
4. Dispute Resolution: Include for high-value or complex engagements where specific dispute resolution procedures need to be established
5. Force Majeure: Add when there's a need to address potential disruptions beyond parties' control
6. Anti-Corruption Statement: Include when working with government entities or when required by corporate policies
7. Data Protection: Required when the engagement involves processing personal or sensitive data
1. Schedule of Fees: Detailed breakdown of fees, rates, and expenses when the fee structure is complex
2. Scope of Work: Detailed technical or service specifications when the scope is too extensive for the main letter
3. Team Profiles: Detailed information about key team members' qualifications when relevant to the engagement
4. Project Timeline: Detailed project schedule or milestones when the engagement involves multiple phases
5. Standard Terms and Conditions: Firm's standard terms and conditions that apply to all engagements
Relevant legal definitions
Clauses
Relevant Industries
Professional Services
Financial Services
Legal Services
Management Consulting
Information Technology
Manufacturing
Energy and Resources
Healthcare
Education
Real Estate
Construction
Telecommunications
Banking
Insurance
Public Sector
Non-Profit
Relevant Teams
Legal
Procurement
Finance
Operations
Administration
Compliance
Risk Management
Business Development
Contract Management
Project Management
Executive Management
Corporate Secretariat
Relevant Roles
Chief Executive Officer
Managing Director
Chief Financial Officer
Legal Counsel
Procurement Manager
Project Manager
Contract Manager
Business Development Manager
Operations Director
Finance Director
Company Secretary
Compliance Officer
Risk Manager
Department Head
Partner
Senior Manager
General Manager
Administrative Director
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