Construction Referral Fee Agreement for Hong Kong

Construction Referral Fee Agreement Template for Hong Kong

A Construction Referral Fee Agreement governed by Hong Kong law establishes the terms and conditions under which one party refers construction-related business opportunities to another party in exchange for a fee. This agreement outlines the referral process, qualification criteria for valid referrals, fee structure, payment terms, and compliance requirements with Hong Kong regulations, including the Prevention of Bribery Ordinance and Construction Industry Council Ordinance. The document includes provisions for confidentiality, term and termination, and dispute resolution mechanisms specific to the Hong Kong jurisdiction.

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What is a Construction Referral Fee Agreement?

The Construction Referral Fee Agreement is essential for businesses operating in Hong Kong's construction sector who wish to formalize referral arrangements and ensure compliance with local regulations. This document is typically used when construction companies, developers, or consultants want to establish a structured referral program with partners who can bring new business opportunities. The agreement needs to comply with Hong Kong's legal framework, including the Prevention of Bribery Ordinance and Construction Industry Council Ordinance, while providing clear mechanisms for referral qualification, fee calculation, and payment processes. It's particularly important in Hong Kong's competitive construction market where networking and business referrals play a crucial role in business development.

What sections should be included in a Construction Referral Fee Agreement?

1. Parties: Identification of the referrer and the construction company/recipient of referrals

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

3. Definitions: Key terms used throughout the agreement, including 'Referral', 'Qualified Lead', 'Construction Services', 'Fee'

4. Scope of Services: Details of the referral services and what constitutes a valid referral

5. Referral Process: Step-by-step process for making and accepting referrals

6. Fee Structure and Payment Terms: Calculation of referral fees, payment timing, and payment methods

7. Obligations of the Referrer: Responsibilities and commitments of the party making referrals

8. Obligations of the Company: Responsibilities of the construction company receiving referrals

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

10. Confidentiality: Protection of confidential information exchanged during the referral process

11. Compliance with Laws: Commitment to comply with relevant Hong Kong laws and regulations

12. Governing Law and Jurisdiction: Specification of Hong Kong law and courts' jurisdiction

What sections are optional to include in a Construction Referral Fee Agreement?

1. Non-Compete Clause: Restrictions on referrer's ability to refer to competitors (use when referrer has access to sensitive information)

2. Marketing and Promotion: Guidelines for how the referrer may promote the construction company (include for active marketing arrangements)

3. Dispute Resolution: Mediation and arbitration procedures (include for high-value referral arrangements)

4. Insurance Requirements: Specific insurance coverage requirements (include for high-risk construction projects)

5. Sub-referral Rights: Rights to engage sub-referrers (include when allowing referral network expansion)

6. Data Protection: Specific provisions for handling personal data (include when referrals involve personal information)

What schedules should be included in a Construction Referral Fee Agreement?

1. Schedule 1: Fee Schedule: Detailed breakdown of referral fee calculations and payment structures

2. Schedule 2: Referral Qualification Criteria: Specific criteria for what constitutes a qualified referral

3. Schedule 3: Reporting Template: Standard format for tracking and reporting referrals

4. Schedule 4: Services Description: Detailed description of construction services covered by the agreement

5. Appendix A: Referral Form Template: Standard form for submitting referrals

6. Appendix B: Compliance Checklist: Checklist ensuring compliance with relevant Hong Kong regulations

Authors

Alex Denne

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

Jurisdiction

Hong Kong

Publisher

Genie AI

Document Type

Liability Waiver

Cost

Free to use
Relevant Industries

Construction

Real Estate Development

Architecture

Engineering

Property Management

Building Materials

Construction Equipment

Infrastructure Development

Commercial Real Estate

Residential Development

Relevant Teams

Legal

Business Development

Commercial

Operations

Construction

Compliance

Sales

Contracts

Project Management

Risk Management

Relevant Roles

Construction Director

Business Development Manager

Legal Counsel

Contract Manager

Commercial Director

Project Director

Chief Operating Officer

Construction Manager

Sales Director

Compliance Officer

Business Development Executive

Partnership Manager

Construction Consultant

Real Estate Agent

Property Development 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,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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