Transportation Agreement Template for Malaysia

A Transportation Agreement spells out the terms between companies moving goods and their shipping partners in Malaysia. It covers essential details like delivery schedules, handling requirements, and liability for cargo damage under the Malaysian Carriage of Goods by Sea Act 1950 and Land Public Transport Act 2010.

These contracts protect both parties by clearly stating freight charges, insurance responsibilities, and specific requirements for special cargo like hazardous materials or perishable items. Local logistics companies often use these agreements to ensure compliance with Malaysian customs regulations while managing cross-border shipments within ASEAN countries.

Use a Transportation Agreement when moving goods across Malaysia's diverse logistics network, especially for high-value cargo or regular shipping arrangements. Companies need this document before starting any significant freight operations, from Port Klang container shipments to cross-country trucking services.

The agreement becomes essential when coordinating multiple carriers, handling specialized cargo like electronics or chemicals, or managing time-sensitive deliveries. Malaysian businesses engaged in import-export trade particularly benefit from having clear terms in place to comply with customs requirements and protect against liability under local transport regulations.

• Transport Contract Agreement: Standard master agreement for general cargo transportation services, covering basic terms and conditions
• Car Transport Contract: Specialized agreement for vehicle transportation services, including specific handling and insurance requirements
• Freight Forwarding Contract: Comprehensive agreement for logistics coordination, customs clearance, and multi-modal transportation
• Transport Subcontractor Agreement: For delegating transportation services to third-party carriers
• Transportation Lease Agreement: Focuses on vehicle or equipment leasing arrangements for transportation purposes

• Logistics Companies: Primary service providers who draft and execute Transportation Agreements, including major players like Kontena Nasional and Pos Malaysia
• Manufacturing Firms: Business clients who need reliable shipping services for their products across Malaysia and ASEAN
• Legal Departments: Internal counsel who review and customize agreements to protect company interests
• Freight Forwarders: Intermediaries who coordinate multiple transportation services and handle customs documentation
• Insurance Providers: Companies offering cargo insurance and risk management services within the transportation chain
• Regulatory Bodies: Government agencies overseeing compliance with Malaysian transport and safety regulations

• Basic Details: Gather complete business information for all parties, including registration numbers and addresses
• Service Scope: Define exact transportation routes, cargo types, volumes, and delivery schedules
• Cost Structure: Calculate all fees, including fuel surcharges, handling costs, and payment terms
• Insurance Coverage: Confirm cargo insurance requirements and liability limits under Malaysian law
• Compliance Check: Review current Land Public Transport Act requirements and customs regulations
• Performance Metrics: Set clear KPIs for delivery times and service quality standards
• Document Generation: Use our platform to create a legally-sound agreement that includes all mandatory elements

• Party Details: Full legal names, business registration numbers, and authorized representatives
• Service Description: Detailed scope of transportation services, routes, and cargo specifications
• Payment Terms: Clear fee structure, payment schedules, and currency denomination
• Liability Clauses: Risk allocation and insurance requirements under Malaysian Carriage of Goods Act
• Performance Standards: Delivery timelines, quality metrics, and handling procedures
• Force Majeure: Provisions for unforeseen events affecting service delivery
• Dispute Resolution: Malaysian jurisdiction choice and arbitration procedures
• Termination Rights: Clear conditions for contract ending and notice periods

A Transportation Agreement differs significantly from an Agency Agreement, though both are common in Malaysian logistics. While Transportation Agreements focus specifically on moving goods from point A to B, Agency Agreements establish a broader relationship where one party represents another in business dealings.

• Scope of Authority: Transportation Agreements limit authority to cargo handling and delivery, while Agency Agreements grant power to negotiate deals and make business decisions
• Legal Liability: Transportation providers are liable mainly for cargo safety and timely delivery; agents bear responsibility for business decisions and contract negotiations
• Duration: Transportation Agreements often cover specific shipments or periods, while Agency Agreements typically establish longer-term business relationships
• Payment Structure: Transportation fees are usually fixed per service, whereas agency relationships often involve commissions or ongoing fee structures