Document background
The No Employment Contract is essential for businesses operating in Malaysia that engage independent contractors, consultants, or freelancers. This document is specifically designed to comply with Malaysian legislation while clearly establishing a non-employment relationship between the parties. It becomes necessary when companies require professional services but wish to maintain a clear distinction from employment relationships, avoiding obligations under the Employment Act 1955. The agreement typically includes comprehensive provisions for service delivery, payment terms, intellectual property rights, and confidentiality, while explicitly stating the contractor's independence. It's particularly relevant in today's gig economy and project-based business environment, where flexible working arrangements are increasingly common.
