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External Consultant Agreement Template for Singapore

A legally binding agreement governed by Singapore law that establishes the terms and conditions for engaging external consultants. The document outlines the scope of services, payment terms, intellectual property rights, confidentiality obligations, and other key provisions in accordance with Singapore's legal framework, including the Employment Act and Personal Data Protection Act. It ensures clear differentiation between consultancy and employment relationships while protecting both parties' interests.

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What is a External Consultant Agreement?

The External Consultant Agreement is essential for businesses operating in Singapore that engage professional services from independent contractors. This document provides a comprehensive framework for managing consultant relationships while ensuring compliance with Singapore's legal requirements. It includes crucial elements such as scope of work, payment terms, intellectual property rights, confidentiality provisions, and dispute resolution mechanisms. The agreement helps distinguish consultancy from employment relationships, crucial for tax purposes and regulatory compliance. It's particularly relevant given Singapore's growing service economy and increasing reliance on specialized external expertise.

What sections should be included in a External Consultant Agreement?

1. Parties: Identification and details of the contracting parties - Company engaging consultant and Consultant details

2. Background: Context and purpose of the consultancy arrangement, including brief description of Company's business and need for consultancy services

3. Definitions: Key terms used throughout the agreement including 'Services', 'Deliverables', 'Intellectual Property Rights', 'Confidential Information'

4. Scope of Services: Detailed description of consulting services to be provided, including deliverables, timelines, and performance standards

5. Term and Termination: Duration of agreement, renewal provisions, and circumstances for termination including notice periods

6. Fees and Payment: Compensation structure, payment terms, expenses policy, and invoicing procedures

7. Intellectual Property Rights: Ownership and rights to work products, pre-existing IP, and licenses granted

8. Confidentiality: Protection of confidential information, non-disclosure obligations, and return of confidential materials

9. Independent Contractor Status: Clear establishment of consultant's status as independent contractor, not employee

10. Representations and Warranties: Consultant's warranties regarding qualifications, compliance with laws, and service quality

What sections are optional to include in a External Consultant Agreement?

1. Non-Compete: Restrictions on competitive activities during and after the engagement, typically used for sensitive industries or senior consultants

2. Insurance: Insurance requirements and obligations, particularly relevant for high-risk services or on-site work

3. Data Protection: PDPA compliance provisions, data handling procedures, and cross-border transfer restrictions

4. Force Majeure: Provisions for unforeseen circumstances preventing performance of services

5. Compliance with Laws: Specific regulatory compliance requirements relevant to the industry or services

What schedules should be included in a External Consultant Agreement?

1. Schedule 1 - Scope of Services: Detailed breakdown of services, deliverables, timelines, and performance metrics

2. Schedule 2 - Fee Schedule: Detailed breakdown of fees, payment structure, and expense policies

3. Schedule 3 - Service Levels: Specific performance standards, quality metrics, and reporting requirements

4. Schedule 4 - Data Processing Agreement: Detailed data protection obligations and procedures if personal data processing is involved

5. Schedule 5 - Key Personnel: Details of specific consultant personnel assigned to provide the services

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

Jurisdiction

Singapore

Cost

Free to use

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