The Commercial Management Agreement is essential for businesses operating in Australia that seek to outsource or formalize their management services arrangements. This document is commonly used when a business requires external expertise or dedicated management services for its operations, assets, or specific business functions. The agreement comprehensively addresses the appointment of a management service provider, their scope of authority, service standards, and commercial terms while ensuring compliance with Australian regulatory requirements. It is particularly relevant in scenarios where specialized management expertise is needed, ranging from property and facility management to business operations and asset management. The document includes crucial elements such as performance metrics, reporting requirements, fee structures, and risk allocation mechanisms, all framed within the Australian legal context.
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1. Parties: Identifies and provides details of all parties to the agreement
2. Background: Sets out the context and purpose of the agreement
3. Definitions and Interpretation: Defines key terms and establishes interpretation principles
4. Appointment and Scope: Establishes the manager's appointment and outlines core services
5. Term and Renewal: Specifies initial term, renewal options, and conditions
6. Manager's Obligations: Details the core responsibilities and duties of the manager
7. Client's Obligations: Outlines the responsibilities and duties of the client
8. Fees and Payment Terms: Specifies management fees, payment schedule, and related financial terms
9. Reporting and Performance Metrics: Establishes reporting requirements and performance standards
10. Intellectual Property: Addresses ownership and usage of intellectual property
11. Confidentiality: Defines confidential information and protection obligations
12. Insurance and Liability: Specifies insurance requirements and liability limitations
13. Termination: Details circumstances and processes for agreement termination
14. Dispute Resolution: Establishes procedures for resolving disputes
15. General Provisions: Includes standard boilerplate clauses and general terms
1. Staff Management: Required when the manager will be responsible for hiring and managing staff
2. Property Management: Included when the agreement involves management of physical properties
3. Marketing and Promotion: Added when the manager has specific marketing responsibilities
4. Financial Management: Required when the manager has significant financial management duties
5. Compliance and Regulatory: Added for industries with specific regulatory requirements
6. Business Development: Included when the manager is responsible for growing the business
7. Technology and Systems: Required when specific technology or systems are integral to the services
8. Crisis Management: Added when specific procedures for crisis situations are needed
9. Environmental Obligations: Required for management involving environmental considerations
10. Change Management: Included when significant operational changes are anticipated
1. Schedule 1 - Services Specification: Detailed description of management services to be provided
2. Schedule 2 - Fee Schedule: Detailed breakdown of fees, charges, and payment terms
3. Schedule 3 - Performance Criteria: Specific KPIs and performance measurement criteria
4. Schedule 4 - Reporting Requirements: Templates and specifications for required reports
5. Schedule 5 - Personnel: Key personnel and their roles/responsibilities
6. Schedule 6 - Operating Procedures: Detailed operational procedures and protocols
7. Schedule 7 - Insurance Requirements: Specific insurance types and coverage levels required
8. Appendix A - Communication Protocol: Procedures for routine and emergency communications
9. Appendix B - Compliance Checklist: Regulatory and operational compliance requirements
10. Appendix C - Handover Procedures: Procedures for transition at start and end of agreement
Relevant legal definitions
Clauses
Relevant Industries
Real Estate
Retail
Hospitality
Manufacturing
Professional Services
Healthcare
Technology
Construction
Education
Facilities Management
Asset Management
Property Development
Infrastructure
Entertainment
Logistics
Relevant Teams
Legal
Operations
Commercial
Finance
Risk and Compliance
Business Development
Property Management
Facility Management
Contract Administration
Asset Management
Project Management
Executive Leadership
Relevant Roles
Chief Executive Officer
Managing Director
Operations Manager
Commercial Manager
Contract Manager
Facility Manager
Property Manager
Business Development Manager
Legal Counsel
Risk Manager
Compliance Officer
Finance Director
General Manager
Project Manager
Asset Manager
Portfolio Manager
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