Cost And Fee Contract

Cost And Fee Contract Template for Indonesia

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Key Requirements PROMPT example:

"I need a Cost And Fee Contract for engineering consultancy services in Jakarta, Indonesia, with provisions for both fixed monthly fees and variable costs, including specific requirements for local content compliance and dual-language documentation."

Document background

This Cost And Fee Contract is specifically designed for use in Indonesia where services are provided on a cost-reimbursable basis plus a fee component. It is particularly suitable for projects or services where the exact scope or costs cannot be accurately predetermined, such as complex engineering projects, consulting services, or ongoing operational support. The document incorporates essential elements required under Indonesian law, including compliance with Law No. 24 of 2009 regarding language requirements and Law No. 7 of 2011 for currency provisions. The contract structure allows for detailed cost tracking, verification procedures, and fee calculations, while providing flexibility to accommodate changes in scope or service requirements. It includes necessary provisions for local content requirements, tax compliance, and dispute resolution mechanisms specific to the Indonesian legal framework.

Suggested Sections

1. Parties: Identification of the contracting parties, including their legal names, registration numbers, and addresses

2. Background: Context of the agreement and brief description of the parties' intentions

3. Definitions: Definitions of key terms used throughout the agreement, including specific cost and fee-related terminology

4. Scope of Services: Detailed description of the services to be provided under the contract

5. Cost Reimbursement: Provisions detailing which costs are reimbursable, payment procedures, and documentation requirements

6. Fee Structure: Definition of fees, calculation methodology, and payment terms

7. Payment Terms: Timing of payments, currency, payment method, and invoicing requirements

8. Obligations of Service Provider: Key responsibilities and obligations of the service provider

9. Obligations of Client: Key responsibilities and obligations of the client

10. Performance Standards: Required service levels and quality standards

11. Records and Audit Rights: Requirements for maintaining cost records and client's audit rights

12. Term and Termination: Duration of the agreement and termination provisions

13. Liability and Indemnification: Allocation of risks and responsibilities between parties

14. Force Majeure: Provisions for handling unforeseen circumstances

15. Confidentiality: Protection of confidential information

16. Governing Law: Specification of Indonesian law as governing law and jurisdiction

17. Dispute Resolution: Procedures for resolving disputes

18. General Provisions: Standard boilerplate clauses including notices, amendments, and assignment

Optional Sections

1. Insurance: Insurance requirements - include when specific insurance coverage is required for the services

2. Intellectual Property Rights: IP ownership and licenses - include when services involve creation or use of intellectual property

3. Anti-Corruption: Anti-corruption and compliance provisions - include for high-value contracts or when working with government entities

4. Local Content Requirements: Requirements for local content and resources - include when subject to Indonesian local content regulations

5. Currency Risk: Currency exchange provisions - include when contract involves international payments

6. Step-In Rights: Client's right to take over services - include for critical services or infrastructure projects

7. Environmental Compliance: Environmental requirements - include when services have environmental impacts

8. Language Requirements: Dual language provisions - include when contract needs both Indonesian and English versions

Suggested Schedules

1. Schedule 1 - Scope of Services: Detailed description of services and deliverables

2. Schedule 2 - Fee Calculation: Detailed methodology for calculating fees, including any performance-based elements

3. Schedule 3 - Reimbursable Costs: Comprehensive list of allowable costs and supporting documentation requirements

4. Schedule 4 - Key Personnel: List of key personnel and their roles

5. Schedule 5 - Performance Standards: Detailed service levels and performance metrics

6. Schedule 6 - Forms and Procedures: Standard forms for invoicing, reporting, and cost documentation

7. Schedule 7 - Rate Card: Agreed rates for personnel and equipment

8. Appendix A - Insurance Requirements: Detailed insurance requirements and minimum coverage levels

9. Appendix B - HSE Requirements: Health, safety, and environmental requirements

10. Appendix C - Compliance Requirements: Specific regulatory and compliance requirements

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok��˰� | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co

Relevant legal definitions

Clauses

Relevant Industries

Construction

Engineering

Oil and Gas

Mining

Infrastructure Development

Professional Services

Technology Services

Manufacturing

Industrial Services

Environmental Services

Project Management

Consulting Services

Facilities Management

Relevant Teams

Legal

Finance

Procurement

Operations

Commercial

Risk Management

Compliance

Business Development

Project Management

Technical Services

Account Management

Cost Control

Relevant Roles

Contract Manager

Procurement Manager

Project Manager

Legal Counsel

Finance Director

Operations Manager

Commercial Manager

Chief Financial Officer

Risk Manager

Compliance Officer

Business Development Manager

Technical Director

Cost Controller

Account Manager

General Manager

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