The Advisor Contract serves as a crucial legal framework for engaging professional advisors in Indonesia, whether individuals or firms, to provide specialized expertise to businesses. This document is essential when companies seek external advisory services while maintaining clear independent contractor relationships. The agreement must comply with Indonesian legal requirements, including the Civil Code (Kitab Undang-undang Hukum Perdata) and relevant employment regulations. It typically covers comprehensive terms including service scope, fees, confidentiality, intellectual property rights, and dispute resolution mechanisms. The Advisor Contract is particularly important in Indonesia's business environment where proper documentation of professional relationships is crucial for regulatory compliance and tax purposes.
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1. Parties: Identification of the advisor and the company, including registration details and addresses
2. Background: Context of the advisory arrangement and brief description of the company's needs
3. Definitions: Key terms used throughout the agreement
4. Appointment and Scope of Services: Details of advisor's appointment and comprehensive description of services to be provided
5. Term and Engagement: Duration of the agreement and renewal provisions
6. Advisor's Obligations: Key responsibilities, commitments, and standard of service expected from the advisor
7. Company's Obligations: Company's responsibilities including provision of information and support
8. Fees and Payment Terms: Compensation structure, payment schedule, expenses, and tax provisions
9. Confidentiality: Protection of confidential information and trade secrets
10. Intellectual Property Rights: Ownership and rights to work products and pre-existing IP
11. Independent Contractor Status: Clear establishment of advisor's status as independent contractor
12. Termination: Grounds for termination, notice requirements, and consequences
13. Governing Law and Dispute Resolution: Choice of Indonesian law and dispute resolution mechanisms
14. General Provisions: Standard boilerplate clauses including notices, amendments, and assignment
1. Non-Competition: Restrictions on advisor's ability to work with competitors, used when advisor has access to sensitive competitive information
2. Insurance: Requirements for professional liability insurance, relevant for high-risk advisory services
3. Performance Metrics: Specific KPIs and performance evaluation criteria, used for long-term or strategic advisory roles
4. Force Majeure: Provisions for unforeseen circumstances, particularly relevant in long-term agreements
5. Data Protection: Specific provisions for handling personal data, required if advisor will process personal information
6. Foreign Worker Compliance: Additional provisions required when advisor is a foreign national
7. Anti-Corruption: Specific anti-corruption provisions, important for government-related work or regulated industries
1. Schedule 1 - Scope of Services: Detailed description of specific services, deliverables, and timelines
2. Schedule 2 - Fee Schedule: Detailed breakdown of fees, payment structure, and expense categories
3. Schedule 3 - Key Personnel: List of key individuals involved in providing the advisory services
4. Schedule 4 - Service Levels: Specific performance standards and response times if applicable
5. Appendix A - Compliance Requirements: Specific regulatory or industry compliance requirements
6. Appendix B - Reporting Templates: Standard formats for progress reports and documentation
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