The Simple Engagement Letter is a crucial business document used in Saudi Arabia when establishing professional service relationships between service providers and their clients. It serves as an initial formal agreement that outlines the fundamental aspects of the engagement while maintaining a less complex structure compared to full service agreements. This document type is particularly important in the Saudi Arabian context, where business relationships must align with both modern commercial practices and Islamic law principles. The Simple Engagement Letter typically includes key information about services, fees, timelines, and basic terms, making it suitable for various professional services ranging from consulting to advisory work. It's designed to be clear and concise while ensuring all necessary legal and regulatory requirements are met within the Saudi jurisdiction.
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1. Letter Header: Professional letterhead including firm details, date, and addressee information
2. Salutation: Formal greeting to the client representative
3. Introduction: Brief introduction and thank you for the opportunity to provide services
4. Scope of Services: Clear and detailed description of the specific services to be provided
5. Fee Structure: Detailed explanation of fees, payment terms, and any additional costs
6. Timeline: Expected duration or timeline for the services
7. Team Composition: Key team members who will be involved in providing the services
8. Client Obligations: Clear outline of what is required from the client
9. Confidentiality: Statement regarding confidentiality obligations
10. Acceptance: Clear instructions for how to accept the engagement and proceed
11. Closing: Professional closing statement with signature block
1. Conflict Disclosure: Section discussing any potential conflicts of interest, used when relevant conflicts need to be disclosed
2. Regulatory Compliance: Additional section detailing specific regulatory requirements, used when services are in regulated industries
3. Force Majeure: Section addressing unforeseen circumstances, used in longer-term engagements
4. Limitation of Liability: Section limiting the firm's liability, used in higher-risk engagements
5. Sub-contractor Rights: Section regarding the right to use sub-contractors, used when sub-contractors may be needed
6. Insurance Coverage: Details of professional insurance coverage, used in high-value or high-risk engagements
1. Detailed Scope of Work: Detailed breakdown of services and deliverables
2. Fee Schedule: Detailed breakdown of fees, rates, and payment milestones
3. Team Profile: Detailed information about key team members and their qualifications
4. Standard Terms and Conditions: Firm's standard terms and conditions referenced in the main letter
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