Non Exclusive Management Agreement Template for Indonesia

The Non-Exclusive Management Agreement is essential for Indonesian businesses seeking professional management services while maintaining flexibility in their operations. This document is commonly used when companies require external management expertise but wish to retain the ability to engage multiple service providers or maintain internal management capabilities. It is particularly relevant in situations where businesses are expanding, restructuring, or seeking specialized management expertise. The agreement must comply with Indonesian law, including the Civil Code (KUHPerdata) and Law No. 13 of 2003 on Manpower, and typically requires bilingual execution (Bahasa Indonesia and English) under Law No. 24 of 2009. The document includes comprehensive provisions for service scope, performance metrics, fee structures, and termination rights, while addressing specific Indonesian regulatory requirements and business practices.

1. Parties: Identification of the parties entering into the agreement, including their legal names, addresses, and company registration details

2. Background: Context of the agreement, including the business purpose and relationship between the parties

3. Definitions: Key terms used throughout the agreement and their specific meanings

4. Appointment and Scope: Terms of the manager's appointment and detailed scope of management services

5. Non-Exclusivity: Clear statement of the non-exclusive nature of the arrangement and its implications

6. Duration and Term: Period of the agreement, including commencement date and any renewal provisions

7. Manager's Rights and Obligations: Detailed description of the manager's responsibilities, authority levels, and performance requirements

8. Company's Rights and Obligations: Company's responsibilities, including provision of information, resources, and support

9. Fees and Payment Terms: Management fees, payment schedule, expenses, and related financial terms

10. Reporting and Performance Review: Requirements for regular reporting and performance evaluation processes

11. Confidentiality: Protection of confidential information and trade secrets

12. Intellectual Property: Ownership and usage rights of intellectual property

13. Termination: Grounds for termination, notice requirements, and consequences of termination

14. Post-Termination Obligations: Obligations that survive termination, including handover requirements

15. Governing Law and Dispute Resolution: Applicable law and methods for resolving disputes

16. General Provisions: Standard boilerplate clauses including notices, amendments, and severability