Self Employed Service Agreement for Malaysia

Self Employed Service Agreement Template for Malaysia

A comprehensive legal agreement governed by Malaysian law that establishes and regulates the relationship between an independent contractor and a client company. This agreement defines the scope of services, payment terms, and operational framework while explicitly maintaining the contractor's self-employed status. It includes provisions compliant with Malaysian legislation, including the Contracts Act 1950 and relevant tax laws, while addressing key aspects such as intellectual property rights, confidentiality, and data protection. The document is structured to clearly differentiate the arrangement from an employment relationship, protecting both parties' interests while ensuring compliance with Malaysian legal requirements for independent contractor arrangements.

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What is a Self Employed Service Agreement?

The Self-Employed Service Agreement is essential for businesses in Malaysia engaging independent contractors for professional services. This document is designed to comply with Malaysian legal requirements while protecting both parties' interests. It's particularly relevant in today's gig economy and flexible working arrangements, where clear distinction between employment and independent contractor status is crucial. The agreement covers essential elements including service scope, payment terms, intellectual property rights, confidentiality, and termination provisions, while ensuring compliance with Malaysian legislation such as the Contracts Act 1950, Income Tax Act 1967, and Personal Data Protection Act 2010. It's suitable for various professional services and includes customizable elements to accommodate specific industry requirements and service arrangements.

What sections should be included in a Self Employed Service Agreement?

1. Parties: Identifies and provides details of the service provider (contractor) and the client company

2. Background: Sets out the context of the agreement and the parties' intention to enter into a self-employed service arrangement

3. Definitions and Interpretation: Defines key terms used throughout the agreement and establishes interpretation rules

4. Appointment and Status: Confirms the appointment as an independent contractor and explicitly states non-employment status

5. Services: Describes the services to be provided and service delivery standards

6. Term: Specifies the duration of the agreement, including start date and any renewal provisions

7. Fees and Payment: Details the compensation structure, payment terms, and expenses policy

8. Obligations of the Contractor: Lists the contractor's key responsibilities and performance requirements

9. Obligations of the Client: Outlines the client's responsibilities and support to be provided

10. Intellectual Property Rights: Addresses ownership and usage rights of work created during the service period

11. Confidentiality: Defines confidential information and establishes protection obligations

12. Data Protection: Ensures compliance with Personal Data Protection Act 2010 requirements

13. Liability and Indemnity: Sets out liability limitations and indemnification obligations

14. Termination: Specifies termination rights and procedures

15. Post-Termination: Outlines obligations and rights after agreement termination

16. General Provisions: Contains standard boilerplate clauses including notices, amendments, governing law

What sections are optional to include in a Self Employed Service Agreement?

1. Insurance: Required when the contractor needs to maintain specific insurance coverage

2. Non-Compete: Include when restricting the contractor from competing activities is necessary

3. Non-Solicitation: Add when protecting against solicitation of clients/employees is important

4. Equipment and Resources: Include when specifying who provides work tools and resources

5. Performance Metrics: Add when specific performance measurements are required

6. Compliance with Policies: Include when contractor must comply with specific client policies

7. Force Majeure: Add when specific force majeure provisions are needed beyond general law

8. Assignment and Subcontracting: Include when addressing right to subcontract or assign is important

9. Dispute Resolution: Add when specific dispute resolution procedures are required

What schedules should be included in a Self Employed Service Agreement?

1. Schedule 1 - Services Description: Detailed description of services to be provided

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

3. Schedule 3 - Service Levels: Specific performance standards and metrics if applicable

4. Schedule 4 - Client Policies: Relevant client policies the contractor must comply with

5. Schedule 5 - Project Timeline: If applicable, specific project milestones and deadlines

6. Appendix A - Required Qualifications: List of required qualifications or certifications

7. Appendix B - Equipment List: List of equipment or resources provided by either party

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

Cost

Free to use
Clauses
Relevant Industries

Information Technology

Professional Services

Construction

Healthcare

Education

Creative Industries

Management Consulting

Engineering

Financial Services

Marketing and Communications

Real Estate

Manufacturing

Research and Development

Transportation and Logistics

Energy

Relevant Teams

Legal

Human Resources

Procurement

Finance

Operations

Project Management Office

Compliance

Risk Management

Contract Administration

Business Development

Relevant Roles

Freelance Consultant

Independent Contractor

Project Manager

Software Developer

Business Analyst

Marketing Consultant

Technical Specialist

Professional Trainer

Creative Designer

Content Writer

Financial Advisor

Engineering Consultant

Healthcare Professional

Research Consultant

Management Consultant

IT Specialist

Strategic Advisor

Operations Consultant

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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