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Service Provider Contract for Malaysia

Service Provider Contract Template for Malaysia

This document is a comprehensive Service Provider Contract governed by Malaysian law, designed to establish and regulate the professional relationship between a service provider and their client. It encompasses key provisions required under Malaysian legislation, including the Contracts Act 1950 and relevant industry-specific regulations. The agreement details the scope of services, payment terms, intellectual property rights, confidentiality obligations, and liability provisions while ensuring compliance with Malaysian tax laws and data protection requirements. It provides a robust framework for service engagement while protecting both parties' interests under Malaysian jurisdiction.

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Service Provider Contract

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What is a Service Provider Contract?

This Service Provider Contract is essential for businesses and individuals engaging external service providers in Malaysia. It is designed to comply with Malaysian legislation, including the Contracts Act 1950, Employment Act 1955, and other relevant regulations. The document is particularly useful when engaging consultants, freelancers, or companies for specific services while maintaining a clear distinction from employment relationships. It includes comprehensive provisions for service delivery, payment terms, intellectual property rights, and confidentiality, while incorporating necessary safeguards and compliance requirements under Malaysian law. The contract can be customized for various service types while maintaining its core legal framework and jurisdictional compliance.

What sections should be included in a Service Provider Contract?

1. Parties: Identifies and provides full details of the contracting parties - the service provider and the client

2. Background: Sets out the context of the agreement and the parties' intentions

3. Definitions: Defines key terms used throughout the agreement

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

5. Term and Termination: Duration of the agreement and circumstances for termination

6. Fees and Payment: Payment terms, rates, and invoicing procedures

7. Obligations of the Service Provider: Key responsibilities and commitments of the service provider

8. Obligations of the Client: Key responsibilities and commitments of the client

9. Intellectual Property Rights: Ownership and rights related to any IP created during service provision

10. Confidentiality: Protection of confidential information and trade secrets

11. Liability and Indemnity: Limitation of liability and indemnification provisions

12. Force Majeure: Provisions for unforeseen circumstances preventing performance

13. Governing Law and Jurisdiction: Specifies Malaysian law as governing law and jurisdiction for disputes

14. General Provisions: Standard boilerplate clauses including notices, entire agreement, and severability

What sections are optional to include in a Service Provider Contract?

1. Data Protection: Required when the service provider will handle personal data, ensuring compliance with PDPA 2010

2. Non-Competition: Used when there's a need to restrict the service provider from competing with the client

3. Non-Solicitation: Used to prevent either party from soliciting the other's employees or clients

4. Insurance: Required when specific insurance coverage needs to be maintained by the service provider

5. Performance Metrics: Used when specific service levels or KPIs need to be maintained

6. Dispute Resolution: Detailed alternative dispute resolution procedures, if needed beyond standard court jurisdiction

7. Assignment and Subcontracting: Used when there's a need to specifically address the ability to transfer rights or subcontract

8. Compliance with Laws: Detailed compliance requirements for specific regulated industries

What schedules should be included in a Service Provider Contract?

1. Schedule 1 - Service Description: Detailed specification of services, deliverables, and timelines

2. Schedule 2 - Fee Schedule: Detailed breakdown of fees, rates, and payment terms

3. Schedule 3 - Service Levels: Specific performance metrics and service level requirements

4. Schedule 4 - Key Personnel: List of key personnel assigned to provide the services

5. Schedule 5 - Client Materials and Requirements: List of materials, access, and support to be provided by the client

6. Appendix A - Data Processing Agreement: Required when personal data processing is involved

7. Appendix B - Compliance Requirements: Industry-specific compliance requirements and certifications

Authors

Alex Denne

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

Jurisdiction

Malaysia

Document Type

Agreement Contract

Cost

Free to use
Relevant legal definitions



























Clauses



























Relevant Industries

Information Technology

Professional Services

Consulting

Healthcare

Education

Financial Services

Manufacturing

Construction

Telecommunications

Media and Entertainment

Real Estate

Logistics and Transportation

Relevant Teams

Legal

Procurement

Operations

Finance

Risk and Compliance

Human Resources

Business Development

Commercial

Vendor Management

Project Management Office

Relevant Roles

Legal Counsel

Procurement Manager

Contract Manager

Business Development Manager

Operations Director

Project Manager

Chief Financial Officer

Risk Manager

Compliance Officer

Human Resources Director

Department Head

Managing Director

Chief Executive Officer

Commercial Manager

Vendor Manager

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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