The Outsourcing Agreement Between Two Companies is a crucial legal document used when one company (the customer) wishes to engage another company (the service provider) to perform specific business functions or services in Hong Kong. This agreement is essential in today's business environment where companies increasingly focus on core competencies while outsourcing other functions to specialized providers. The document comprehensively covers service specifications, performance metrics, pricing, data protection, intellectual property rights, and risk allocation, while ensuring compliance with Hong Kong's legal and regulatory requirements. It's particularly important in regulated industries where outsourcing arrangements must meet specific compliance standards and in situations involving sensitive data or critical business functions.
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1. Parties: Identification of the service provider and customer, including registered addresses and company details
2. Background: Context of the agreement and high-level description of the outsourcing arrangement
3. Definitions: Definitions of key terms used throughout the agreement
4. Scope of Services: Detailed description of services to be provided and service provider's obligations
5. Term and Renewal: Duration of the agreement and renewal provisions
6. Service Provider Obligations: Key responsibilities and commitments of the service provider
7. Customer Obligations: Key responsibilities and commitments of the customer
8. Fees and Payment Terms: Pricing, payment schedule, and related financial terms
9. Service Levels: Performance standards and metrics for service delivery
10. Data Protection and Privacy: Obligations regarding data handling, security, and compliance with privacy laws
11. Confidentiality: Protection of confidential information and trade secrets
12. Intellectual Property Rights: Ownership and licensing of IP created or used during service provision
13. Liability and Indemnification: Risk allocation, limitations of liability, and indemnification obligations
14. Force Majeure: Provisions for handling events beyond parties' reasonable control
15. Termination: Grounds for termination and termination process
16. Post-Termination Obligations: Obligations of parties after agreement ends, including transition assistance
17. General Provisions: Standard boilerplate clauses including governing law, notices, and assignment
1. Change Control: Process for managing changes to services or agreement terms - include for complex or long-term arrangements
2. Business Continuity: Disaster recovery and business continuity requirements - important for critical services
3. Audit Rights: Customer's rights to audit service provider - important for regulated industries
4. Security Requirements: Specific security protocols and requirements - crucial for IT or data-intensive services
5. Staff and Key Personnel: Requirements for service provider's personnel - important when specific expertise is required
6. Compliance with Laws: Specific regulatory compliance requirements - essential for regulated industries
7. Subcontracting: Terms governing service provider's use of subcontractors - include if subcontracting is permitted
8. Insurance: Insurance requirements - important for high-risk services
9. Anti-Bribery and Corruption: Compliance with anti-corruption laws - important for international arrangements
1. Schedule 1 - Services Description: Detailed technical and operational specifications of services
2. Schedule 2 - Service Levels and KPIs: Detailed service level requirements, measurements, and penalties
3. Schedule 3 - Charges and Pricing: Detailed fee structure, rates, and payment terms
4. Schedule 4 - Customer Dependencies: Detailed list of customer-provided resources and responsibilities
5. Schedule 5 - Transition Plan: Implementation and transition timeline and requirements
6. Schedule 6 - Data Processing Agreement: Detailed data protection and processing requirements
7. Schedule 7 - Business Continuity Plan: Detailed disaster recovery and business continuity procedures
8. Schedule 8 - Exit Plan: Detailed termination and transition-out procedures
9. Schedule 9 - Approved Subcontractors: List of approved subcontractors and their scope of work
Relevant legal definitions
Acceptance Criteria
Affiliate
Agreement
Applicable Law
Background IP
Business Day
Change Control Procedure
Charges
Commencement Date
Confidential Information
Contract Year
Customer Data
Customer Materials
Deliverables
Disabling Code
Dispute Resolution Procedure
Documentation
Exit Plan
Force Majeure Event
Good Industry Practice
Implementation Plan
Initial Term
Intellectual Property Rights
Key Performance Indicators
Key Personnel
Material Breach
Minimum Performance Levels
Notice
Personal Data
Project Manager
Renewal Term
Reports
Schedule
Security Requirements
Service Credits
Service Levels
Services
Service Provider Personnel
Service Provider Systems
Service Recipient
Specified Personnel
Subcontractor
Term
Termination Date
Transition Period
Transition Plan
Transition Services
Working Hours
Work Product
Affiliate
Agreement
Applicable Law
Background IP
Business Day
Change Control Procedure
Charges
Commencement Date
Confidential Information
Contract Year
Customer Data
Customer Materials
Deliverables
Disabling Code
Dispute Resolution Procedure
Documentation
Exit Plan
Force Majeure Event
Good Industry Practice
Implementation Plan
Initial Term
Intellectual Property Rights
Key Performance Indicators
Key Personnel
Material Breach
Minimum Performance Levels
Notice
Personal Data
Project Manager
Renewal Term
Reports
Schedule
Security Requirements
Service Credits
Service Levels
Services
Service Provider Personnel
Service Provider Systems
Service Recipient
Specified Personnel
Subcontractor
Term
Termination Date
Transition Period
Transition Plan
Transition Services
Working Hours
Work Product
Clauses
Definitions
Services Scope
Term and Renewal
Service Levels
Fees and Payment
Performance Monitoring
Service Provider Obligations
Customer Obligations
Personnel
Subcontracting
Data Protection
Confidentiality
Intellectual Property
Warranties
Indemnification
Limitation of Liability
Force Majeure
Change Control
Governance
Audit Rights
Insurance
Business Continuity
Security
Compliance with Laws
Anti-Corruption
Dispute Resolution
Termination
Exit Management
Assignment and Novation
Notices
Entire Agreement
Severability
Waiver
Governing Law
Jurisdiction
Services Scope
Term and Renewal
Service Levels
Fees and Payment
Performance Monitoring
Service Provider Obligations
Customer Obligations
Personnel
Subcontracting
Data Protection
Confidentiality
Intellectual Property
Warranties
Indemnification
Limitation of Liability
Force Majeure
Change Control
Governance
Audit Rights
Insurance
Business Continuity
Security
Compliance with Laws
Anti-Corruption
Dispute Resolution
Termination
Exit Management
Assignment and Novation
Notices
Entire Agreement
Severability
Waiver
Governing Law
Jurisdiction
Relevant Industries
Information Technology
Business Process Outsourcing
Manufacturing
Financial Services
Professional Services
Healthcare
Telecommunications
Retail
Logistics
Real Estate
Relevant Teams
Legal
Procurement
Operations
Information Technology
Finance
Risk & Compliance
Vendor Management
Project Management
Business Development
Service Delivery
Relevant Roles
Chief Executive Officer
Chief Operating Officer
Chief Financial Officer
Chief Technology Officer
Chief Legal Officer
Procurement Manager
Vendor Management Director
Operations Director
Legal Counsel
Risk Manager
Compliance Officer
IT Director
Project Manager
Contract Manager
Service Delivery Manager
Business Development Manager
Finance Director
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