Consulting Agreement for Malaysia

Consulting Agreement Template for Malaysia

A comprehensive legal document governed by Malaysian law that establishes a professional consulting relationship between a service provider (consultant) and a client. The agreement outlines the scope of consulting services, payment terms, confidentiality obligations, intellectual property rights, and other key terms while ensuring compliance with Malaysian legislation including the Contracts Act 1950 and relevant employment laws. It includes provisions for dispute resolution and clearly defines the independent contractor status of the consultant.

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What is a Consulting Agreement?

This document serves as a legally binding Consulting Agreement under Malaysian law, essential for businesses and organizations engaging external expertise. It is commonly used when a company needs specialized knowledge or services without creating an employment relationship. The agreement ensures clarity in service scope, protects intellectual property, maintains confidentiality, and establishes clear payment terms while complying with Malaysian regulatory requirements. This contract type is particularly important in the Malaysian business environment where companies increasingly rely on external consultants for specialized expertise and project-based work.

What sections should be included in a Consulting Agreement?

1. Parties: Identification of the consultant and the client company, including registration numbers and registered addresses

2. Background: Context of the agreement and brief description of the parties' intention to enter into a consulting arrangement

3. Definitions: Key terms used throughout the agreement

4. Appointment and Scope: Formal appointment of consultant and broad description of services

5. Term and Termination: Duration of the agreement and circumstances under which it can be terminated

6. Consultant's Obligations: Key responsibilities and duties of the consultant

7. Client's Obligations: Key responsibilities and duties of the client

8. Fees and Payment Terms: Compensation structure, payment schedule, and expenses

9. Confidentiality: Protection of confidential information and trade secrets

10. Intellectual Property: Ownership and rights to work products and pre-existing IP

11. Independent Contractor Status: Clear statement of consultant's status as independent contractor

12. Limitation of Liability: Caps on liability and exclusions

13. General Provisions: Standard boilerplate clauses including notices, amendment process, and governing law

What sections are optional to include in a Consulting Agreement?

1. Non-Compete: Restrictions on consultant's ability to work with competitors, used when consultant will have access to sensitive competitive information

2. Non-Solicitation: Restrictions on soliciting employees or clients, used for consultants with significant client contact

3. Insurance: Insurance requirements for consultant, typically included for high-risk or regulated industry consulting

4. Data Protection: Specific obligations regarding personal data handling, required when consultant will process personal data

5. Force Majeure: Provisions for unforeseen circumstances, particularly relevant post-COVID

6. Anti-Corruption: Compliance with anti-corruption laws, important for government-related consulting

7. Assignment and Subcontracting: Rights to transfer obligations or use subcontractors, needed for larger consulting firms

What schedules should be included in a Consulting Agreement?

1. Schedule 1 - Services: Detailed scope of services, deliverables, and timelines

2. Schedule 2 - Fee Schedule: Detailed breakdown of fees, rates, and payment milestones

3. Schedule 3 - Key Personnel: Names and roles of key consultant team members

4. Schedule 4 - Service Levels: Performance metrics and quality standards

5. Schedule 5 - Client Policies: Relevant client policies consultant must comply with

6. Appendix A - Reporting Requirements: Format and frequency of progress reports

7. Appendix B - Change Request Process: Procedure for requesting and implementing changes to services

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

Malaysia

Publisher

Genie AI

Document Type

Agreement Contract

Cost

Free to use
Clauses
Relevant Industries

Technology

Financial Services

Manufacturing

Healthcare

Education

Professional Services

Energy

Real Estate

Telecommunications

Retail

Construction

Agriculture

Relevant Teams

Legal

Procurement

Human Resources

Finance

Operations

Compliance

Risk Management

Project Management Office

Business Development

Administration

Relevant Roles

Chief Executive Officer

Chief Financial Officer

Legal Counsel

Procurement Manager

Project Manager

Human Resources Director

Operations Manager

Business Development Manager

Department Head

Risk Manager

Compliance Officer

Contract Administrator

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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