This Third Party Contractor Agreement is designed for use in Malaysia when engaging external service providers or individuals on a contractor basis rather than as employees. The document is essential for businesses operating in Malaysia that require specialized services, project-based work, or temporary expertise without creating an employment relationship. It incorporates key provisions required under Malaysian law, including compliance with the Contracts Act 1950, Employment Act 1955, and relevant tax regulations. The agreement is structured to clearly establish independent contractor status, specify service delivery requirements, protect intellectual property rights, and maintain confidentiality while providing flexible engagement terms. It's particularly valuable for companies seeking to manage risk, ensure regulatory compliance, and create clear operational frameworks for contractor relationships in the Malaysian business environment.
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1. Parties: Identifies and provides full details of the contracting parties, including registration numbers for companies
2. Background: Sets out the context of the agreement and the parties' intention to enter into a contractor relationship
3. Definitions: Defines key terms used throughout the agreement
4. Appointment and Scope: Establishes the contractor's appointment and defines the scope of services
5. Term and Termination: Specifies the duration of the agreement and circumstances for termination
6. Contractor's Obligations: Details the contractor's duties, responsibilities, and performance standards
7. Company's Obligations: Outlines the company's responsibilities and commitments
8. Fees and Payment: Specifies payment terms, rates, and invoicing procedures
9. Independent Contractor Status: Explicitly establishes the independent nature of the relationship
10. Intellectual Property: Addresses ownership and rights to work created during the engagement
11. Confidentiality: Protects confidential information and trade secrets
12. Liability and Indemnity: Sets out liability limitations and indemnification obligations
13. General Provisions: Contains standard boilerplate clauses including governing law, notices, and entire agreement
1. Non-Compete: Restricts contractor's ability to compete - include when contractor will have access to sensitive business information
2. Insurance: Specifies required insurance coverage - include when services involve significant risks or regulatory requirements
3. Data Protection: Addresses personal data handling - include when contractor will process personal data
4. Equipment and Resources: Specifies who provides tools and resources - include when significant equipment or resources are needed
5. Compliance with Policies: Requires adherence to company policies - include when contractor works on-site or interfaces with company systems
6. Force Majeure: Addresses unforeseen circumstances - include when services are critical or long-term
7. Assignment and Subcontracting: Controls ability to delegate work - include when personal service is important
8. Change Control: Establishes process for scope changes - include for complex or long-term projects
1. Schedule 1 - Services Description: Detailed specification of services to be provided
2. Schedule 2 - Fee Schedule: Detailed breakdown of fees, rates, and payment terms
3. Schedule 3 - Service Levels: Performance metrics and quality standards
4. Schedule 4 - Key Personnel: Details of main contractor personnel if applicable
5. Schedule 5 - Company Policies: Relevant company policies contractor must comply with
6. Schedule 6 - Required Insurance: Specific insurance requirements and coverage levels
7. Appendix A - Report Templates: Standard formats for required reports and documentation
8. Appendix B - Change Request Form: Template for requesting and documenting changes to services
Relevant legal definitions
Clauses
Relevant Industries
Information Technology
Construction
Professional Services
Manufacturing
Healthcare
Education
Financial Services
Telecommunications
Energy and Utilities
Consulting
Digital Media
Engineering
Real Estate
Logistics
Relevant Teams
Legal
Human Resources
Procurement
Finance
Operations
Compliance
Risk Management
Project Management Office
Administration
Business Development
Relevant Roles
Procurement Manager
Legal Counsel
HR Director
Project Manager
Operations Manager
Compliance Officer
Contract Administrator
Finance Manager
Risk Manager
Department Head
Business Unit Director
Chief Financial Officer
General Counsel
Chief Operating Officer
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