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Engagement Agreement for Malaysia

Engagement Agreement Template for Malaysia

A comprehensive legal document governed by Malaysian law that establishes and regulates a professional services relationship between a service provider and a client. It outlines the scope of services, compensation terms, obligations of both parties, confidentiality requirements, and other key terms and conditions. The agreement ensures compliance with Malaysian regulations including the Contracts Act 1950 and relevant industry-specific legislation, while providing clear guidelines for service delivery and dispute resolution.

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What is a Engagement Agreement?

The Engagement Agreement serves as the primary contractual document for establishing professional service relationships in Malaysia. It is commonly used when engaging consultants, advisors, or service providers for specific projects or ongoing services. The agreement must comply with Malaysian law, particularly the Contracts Act 1950, Employment Act 1955, and industry-specific regulations. It typically includes detailed provisions on service scope, payment terms, confidentiality, intellectual property rights, and liability limitations. This document is essential for protecting both parties' interests and ensuring clear communication of expectations and deliverables in professional engagements.

What sections should be included in a Engagement Agreement?

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

2. Background: Sets out the context and purpose of the engagement

3. Definitions: Defines key terms used throughout the agreement

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

5. Term and Termination: Duration of the engagement and circumstances for termination

6. Fees and Payment Terms: Compensation structure, payment schedule, and related terms

7. Obligations of Service Provider: Key responsibilities and commitments of the service provider

8. Client Obligations: Key responsibilities and commitments of the client

9. Confidentiality: Provisions for handling confidential information

10. Intellectual Property: Ownership and rights related to work products and existing IP

11. Limitation of Liability: Extent and limitations of each party's liability

12. General Provisions: Standard boilerplate clauses including governing law, notices, etc.

What sections are optional to include in a Engagement Agreement?

1. Data Protection: Detailed provisions for handling personal data when the engagement involves processing of personal information

2. Non-Compete: Restrictions on competitive activities, used when protecting business interests is crucial

3. Force Majeure: Provisions for unforeseen circumstances preventing performance

4. Anti-Corruption Compliance: Detailed anti-corruption provisions for high-value or government-related engagements

5. Insurance: Insurance requirements when the services involve significant risks

6. Dispute Resolution: Specific dispute resolution procedures beyond standard court jurisdiction

7. Assignment and Subcontracting: Rules for transferring rights or involving third parties in service delivery

What schedules should be included in a Engagement Agreement?

1. Schedule 1 - Scope of Services: Detailed breakdown of services, deliverables, and timelines

2. Schedule 2 - Fee Schedule: Detailed fee structure, rates, and payment milestones

3. Schedule 3 - Service Levels: Performance metrics and service level requirements

4. Schedule 4 - Key Personnel: List of key team members and their roles

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

6. Appendix A - Required Forms: Standard forms or templates used in service delivery

7. Appendix B - Compliance Requirements: Specific regulatory or compliance requirements applicable to the services

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

Malaysia

Publisher

Ƶ

Document Type

Agreement Contract

Cost

Free to use
Relevant legal definitions






















Clauses






























Relevant Industries

Professional Services

Consulting

Technology

Financial Services

Legal Services

Healthcare

Education

Engineering

Manufacturing

Real Estate

Construction

Telecommunications

Relevant Teams

Legal

Procurement

Finance

Human Resources

Operations

Risk & Compliance

Business Development

Project Management

Corporate Affairs

Administration

Relevant Roles

Legal Counsel

Contract Manager

Procurement Manager

Project Manager

Business Development Manager

Chief Financial Officer

Chief Executive Officer

Human Resources Director

Operations Manager

Risk Manager

Compliance Officer

Department Head

Managing Director

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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