The Master Intercompany Services Agreement is essential for multinational and domestic corporate groups operating in the UAE who need to formalize and regulate the provision of services between group entities. This agreement type is particularly relevant given the UAE's complex business environment, which includes mainland jurisdictions, various free zones, and specific regulatory requirements. The document establishes a comprehensive framework for service delivery, covering aspects such as scope, pricing, governance, and compliance, while ensuring adherence to UAE laws and regulations. It's designed to support operational efficiency while maintaining proper corporate governance and regulatory compliance, particularly important in the UAE's sophisticated business landscape where intercompany arrangements face increasing scrutiny from tax and regulatory authorities.
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1. Parties: Identification of the service provider and service recipient entities, including registration details and addresses
2. Background: Context of the agreement, relationship between the parties, and general purpose of the arrangement
3. Definitions and Interpretation: Defined terms, rules of interpretation, and hierarchy of documents
4. Scope of Services: General framework for services to be provided under the agreement
5. Service Requests and Delivery: Process for requesting services and requirements for delivery
6. Service Levels: Standards of service performance and quality requirements
7. Charges and Payment: Pricing principles, payment terms, invoicing requirements, and VAT treatment
8. Governance and Management: Overview of management structure, reporting requirements, and performance reviews
9. Personnel: Requirements for personnel delivering services, including qualifications and compliance
10. Intellectual Property Rights: Ownership and licensing of IP created or used in service delivery
11. Confidentiality: Protection of confidential information and trade secrets
12. Data Protection: Compliance with UAE data protection requirements and data handling procedures
13. Liability and Indemnities: Allocation of risks and responsibilities between parties
14. Force Majeure: Provisions for unforeseen circumstances preventing performance
15. Term and Termination: Duration of agreement and circumstances for termination
16. Consequences of Termination: Actions and obligations following agreement termination
17. Governing Law and Jurisdiction: UAE law as governing law and jurisdiction for disputes
18. General Provisions: Standard boilerplate clauses including notices, amendments, and assignment
1. Compliance with Laws: Specific section on regulatory compliance - needed for regulated industries or when specific compliance requirements exist
2. Anti-Bribery and Corruption: Detailed provisions for anti-corruption compliance - recommended for international groups or when dealing with public entities
3. Insurance: Insurance requirements - needed when services involve significant risks or physical activities
4. Business Continuity: Business continuity and disaster recovery provisions - important for critical services
5. Audit Rights: Detailed audit provisions - necessary for regulated industries or when significant compliance requirements exist
6. Transfer Pricing: Specific transfer pricing provisions - needed when parties are in different jurisdictions or subject to transfer pricing regulations
7. Local Content Requirements: Provisions addressing UAE local content requirements - necessary when applicable to the industry
8. Environmental Compliance: Environmental standards and compliance - needed for services with environmental impact
1. Schedule 1 - Services Description: Detailed description of each service category to be provided
2. Schedule 2 - Service Levels: Detailed service levels, KPIs, and measurement criteria
3. Schedule 3 - Charges: Detailed pricing structure, rates, and calculation methodologies
4. Schedule 4 - Governance Procedures: Detailed procedures for contract governance and management
5. Schedule 5 - Form of Service Request: Template for requesting specific services under the agreement
6. Schedule 6 - Key Personnel: List of key personnel and their roles
7. Schedule 7 - Technical Requirements: Technical specifications and requirements for service delivery
8. Schedule 8 - Authorized Affiliates: List of group companies authorized to receive or provide services
9. Appendix A - Contact Details: Contact information for key representatives and notices
10. Appendix B - Required Insurance: Details of required insurance coverage and limits
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