Hourly Rate Agreement for Hong Kong

Hourly Rate Agreement Template for Hong Kong

A comprehensive legal agreement governed by Hong Kong law that establishes the terms and conditions for services provided on an hourly rate basis. The document outlines the rate of payment, service scope, time recording requirements, payment terms, and related obligations between the service provider and the client. It incorporates specific provisions compliant with Hong Kong employment and contract law, including necessary safeguards for both parties, confidentiality provisions, and clear termination procedures.

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What is a Hourly Rate Agreement?

The Hourly Rate Agreement is essential for businesses and individuals engaging in time-based service arrangements in Hong Kong. This document is commonly used when services are provided on a flexible or ongoing basis where fixed-price arrangements are impractical. It's particularly relevant for professional services, consulting, and project-based work where time spent is the primary billing metric. The agreement ensures compliance with Hong Kong legal requirements while providing clear structures for time recording, billing, and payment processes. It's designed to protect both service providers and clients by clearly defining responsibilities, service standards, and commercial terms.

What sections should be included in a Hourly Rate Agreement?

1. Parties: Identification of the service provider and client, including full legal names and registered addresses

2. Background: Context of the agreement and brief description of the purpose of the engagement

3. Definitions: Key terms used throughout the agreement including 'Services', 'Hourly Rate', 'Payment Period', etc.

4. Scope of Services: Detailed description of the services to be provided and any specific requirements or qualifications

5. Hourly Rate and Payment Terms: Specified hourly rate, payment calculation method, invoicing process, and payment schedule

6. Time Recording and Reporting: Requirements for tracking and reporting worked hours, including timesheet procedures

7. Term and Termination: Duration of the agreement and circumstances under which either party may terminate

8. Obligations of the Parties: Key responsibilities and commitments of both service provider and client

9. Confidentiality: Provisions for handling confidential information shared during the engagement

10. Intellectual Property: Ownership and rights related to work produced during the engagement

11. Governing Law and Jurisdiction: Specification of Hong Kong law as governing law and jurisdiction for disputes

What sections are optional to include in a Hourly Rate Agreement?

1. Non-Compete: Restrictions on working with competitors, used when sensitive industry knowledge is involved

2. Insurance: Requirements for professional indemnity or other insurance, relevant for high-risk services

3. Data Protection: Specific provisions for handling personal data, required if processing personal information

4. Equipment and Resources: Provisions regarding tools and resources, relevant if specific equipment is needed

5. Expenses: Terms for reimbursement of expenses, included if expenses are expected

6. Performance Standards: Specific quality metrics or KPIs, used for specialized professional services

7. Substitution Rights: Right to provide substitute personnel, relevant for service firms or contractors

What schedules should be included in a Hourly Rate Agreement?

1. Schedule 1 - Services Description: Detailed breakdown of services to be provided and any specific deliverables

2. Schedule 2 - Rate Card: Detailed breakdown of hourly rates, including different rates for different types of work or personnel if applicable

3. Schedule 3 - Time Recording Template: Standard template for recording and reporting hours worked

4. Schedule 4 - Key Contacts: List of key personnel and their contact details for both parties

5. Appendix A - Required Qualifications: List of required qualifications or certifications if applicable

6. Appendix B - Service Levels: Detailed service level requirements and measurement criteria if applicable

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

Cost

Free to use
Relevant Industries

Professional Services

Information Technology

Management Consulting

Legal Services

Financial Services

Engineering

Design and Creative

Education and Training

Healthcare

Construction

Real Estate

Marketing and Advertising

Business Advisory

Technical Services

Relevant Teams

Legal

Finance

Human Resources

Procurement

Operations

Project Management Office

Compliance

Commercial

Contract Management

Risk Management

Relevant Roles

Consultant

Legal Counsel

Project Manager

IT Specialist

Business Analyst

Financial Advisor

Engineer

Designer

Training Specialist

Technical Consultant

Marketing Specialist

Software Developer

HR Consultant

Management Advisor

Research Analyst

Creative Director

Subject Matter Expert

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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