The Consulting Engagement Letter serves as the primary document defining the business relationship between professional consultants and their clients in Singapore. It is essential for both parties to clearly document the terms of engagement, including scope, deliverables, fees, and legal obligations. This document should comply with Singapore's Contract Act, Personal Data Protection Act, and relevant professional services regulations. The letter helps prevent future disputes by clearly setting expectations and responsibilities, while ensuring compliance with local laws regarding independent contractor status.
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Key Requirements PROMPT example:
Consulting Engagement Letter
"I need a Consulting Engagement Letter for my IT consulting firm to provide digital transformation services to a Singapore-based bank, with specific provisions for data protection and cybersecurity compliance, starting March 2025."
1. Opening Address and Date: Formal business letter format with recipient details and date
2. Introduction: Brief introduction of the consulting firm and reference to any prior discussions
3. Scope of Services: Detailed description of consulting services to be provided, including specific deliverables and objectives
4. Term and Timeline: Duration of the engagement and key project milestones
5. Fees and Payment Terms: Compensation structure, payment schedule, invoicing details, and expense policies
6. Confidentiality: Obligations regarding protection and non-disclosure of confidential information
7. Intellectual Property: Ownership and rights to work products and deliverables
8. Independent Contractor Status: Clarification of relationship as independent contractor rather than employee
9. Limitation of Liability: Extent and limitations of consultant's liability
10. Termination: Conditions and process for terminating the engagement
11. Governing Law: Specification of Singapore law as governing law and jurisdiction
12. Signature Block: Space for signatures, dates, and company details
1. Performance Metrics: Specific deliverables and success criteria for outcome-based consulting arrangements
2. Non-Compete: Restrictions on working with competitors during and after the engagement
3. Insurance Requirements: Professional indemnity and liability coverage requirements for high-risk consulting services
4. Force Majeure: Provisions for unforeseen circumstances preventing performance of services
5. Data Protection: Specific provisions relating to PDPA compliance and data handling procedures
1. Schedule A - Detailed Scope of Work: Comprehensive breakdown of deliverables, methodologies, and timelines
2. Schedule B - Fee Schedule: Detailed breakdown of fees, expenses, and payment milestones
3. Schedule C - Key Personnel: List of key consultants, their qualifications, and roles in the engagement
4. Schedule D - Service Levels: Specific performance standards and service level agreements if applicable
5. Schedule E - Client Obligations: Detailed list of client responsibilities and required support
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