This Non-Refundable Retainer Agreement is designed for use in South African business contexts where professional services are provided on an ongoing basis against an advance payment. The document is particularly relevant when service providers need to secure committed resources and guarantee service availability to clients. It includes comprehensive provisions for payment terms, service scope, and the legal justification for the non-refundable nature of the retainer, all while ensuring compliance with South African consumer protection laws, contract law principles, and relevant regulatory requirements. The agreement is structured to protect both parties' interests while maintaining transparency about the non-refundable nature of the payment and the obligations of each party.
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1. Parties: Identification and details of the service provider and the client
2. Background: Context of the agreement and general purpose of the retainer arrangement
3. Definitions: Key terms used throughout the agreement, including 'Retainer Fee', 'Services', and 'Term'
4. Scope of Services: Detailed description of services covered under the retainer arrangement
5. Retainer Fee and Payment Terms: Amount of retainer, payment schedule, and explicit terms regarding non-refundable nature
6. Term and Termination: Duration of the agreement and circumstances under which it may be terminated
7. Non-Refundable Nature: Clear explanation of why the retainer is non-refundable and the legal basis for this
8. Service Provider's Obligations: Detailed responsibilities and commitments of the service provider
9. Client's Obligations: Responsibilities and commitments required from the client
10. Limitation of Liability: Extent and limitations of service provider's liability
11. Confidentiality: Obligations regarding confidential information exchanged during the engagement
12. Governing Law and Jurisdiction: Specification of South African law as governing law and jurisdiction for disputes
1. Intellectual Property Rights: Include when services involve creation or use of intellectual property
2. Data Protection: Include when personal information processing is involved, ensuring POPIA compliance
3. Force Majeure: Include to address unforeseeable circumstances preventing service delivery
4. Non-Solicitation: Include to prevent client from hiring service provider's employees
5. Alternative Dispute Resolution: Include when parties prefer mediation or arbitration before litigation
6. Service Level Agreement: Include when specific performance metrics need to be maintained
7. Professional Insurance: Include when service provider maintains professional indemnity insurance
8. Subcontracting: Include when service provider may need to subcontract certain services
1. Schedule A - Scope of Services: Detailed breakdown of services covered under the retainer
2. Schedule B - Fee Structure: Detailed breakdown of retainer fee, hourly rates, and additional charges
3. Schedule C - Service Level Requirements: Specific metrics and standards for service delivery
4. Appendix 1 - Contact Details: Key contacts and communication protocols for both parties
5. Appendix 2 - Reporting Requirements: Format and frequency of progress reports and communications
Relevant legal definitions
Clauses
Relevant Industries
Legal Services
Consulting
Professional Services
Marketing and Advertising
Public Relations
IT Services
Financial Advisory
Business Consulting
Management Consulting
Creative Services
Architecture
Engineering
Accounting Services
Healthcare Consulting
Human Resources
Relevant Teams
Legal
Finance
Operations
Business Development
Commercial
Compliance
Risk Management
Client Services
Professional Services
Account Management
Project Management
Relevant Roles
Legal Counsel
Contract Manager
Business Development Manager
Chief Executive Officer
Managing Director
Finance Manager
Operations Manager
Professional Service Provider
Consultant
Account Manager
Project Manager
Commercial Director
Chief Financial Officer
Practice Manager
Compliance Officer
Business Owner
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