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Sub Contract Work Agreement

Sub Contract Work Agreement Template for Malaysia

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Key Requirements PROMPT example:

Sub Contract Work Agreement

"I need a Sub Contract Work Agreement for a renewable energy project in Selangor, Malaysia, where my company will be the main contractor engaging a specialized subcontractor for solar panel installation work starting March 2025, with specific focus on technical specifications and quality standards."

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Document background
The Sub Contract Work Agreement is an essential document in the Malaysian construction and development landscape, used when a main contractor needs to delegate specific portions of a project to specialized contractors. This agreement type is particularly relevant under Malaysian law, which requires clear documentation of subcontracting arrangements, especially in regulated industries. The document ensures compliance with local regulations including the Construction Industry Development Board Act 1994, Employment Act 1955, and other relevant legislation. It typically includes comprehensive details about work scope, payment terms, safety requirements, and quality standards, while incorporating specific provisions required by Malaysian law for subcontracting arrangements. The agreement is crucial for risk management, establishing clear lines of responsibility, and ensuring proper project execution within the Malaysian legal framework.
Suggested Sections

1. Parties: Identifies and provides full details of the main contractor and subcontractor, including registration numbers and addresses

2. Background: Outlines the context of the main contract and the need for subcontracting specific works

3. Definitions: Defines key terms used throughout the agreement to ensure clear interpretation

4. Scope of Works: Detailed description of the subcontracted works to be performed

5. Contract Sum and Payment Terms: Specifies the agreed price and payment schedule, including payment milestones

6. Duration and Timeline: Sets out the commencement date, completion date, and any intermediate milestones

7. Obligations of the Subcontractor: Details the subcontractor's responsibilities, including quality standards and compliance requirements

8. Obligations of the Main Contractor: Outlines the main contractor's duties and responsibilities

9. Safety and Compliance: Specifies safety requirements and compliance with relevant regulations

10. Insurance and Indemnity: Details required insurance coverage and indemnification obligations

11. Termination: Sets out grounds and procedures for contract termination

12. Dispute Resolution: Establishes procedures for handling disputes

13. Governing Law: Confirms Malaysian law as the governing law and jurisdiction

Optional Sections

1. Performance Bond: Required when a performance guarantee is needed from the subcontractor

2. Intellectual Property Rights: Included when the work involves creation or use of intellectual property

3. Confidentiality: Added when sensitive information will be shared during the project

4. Force Majeure: Included to address unforeseen circumstances preventing performance

5. Environmental Requirements: Required for projects with specific environmental compliance needs

6. Quality Assurance: Added for projects requiring specific quality management systems

7. Variations: Detailed procedure for handling changes to scope, when significant variations are anticipated

8. Defects Liability: Included when specific warranty periods are required post-completion

Suggested Schedules

1. Schedule 1: Scope of Works: Detailed technical specifications and drawings of the works to be performed

2. Schedule 2: Bill of Quantities: Itemized list of quantities, rates, and prices for the works

3. Schedule 3: Project Timeline: Detailed project schedule with milestones and completion dates

4. Schedule 4: Payment Schedule: Detailed breakdown of payment terms, milestones, and amounts

5. Schedule 5: Safety Requirements: Specific safety procedures and requirements for the project

6. Schedule 6: Required Insurance: Details of insurance types and coverage amounts required

7. Appendix A: Main Contract Extract: Relevant excerpts from the main contract affecting subcontract works

8. Appendix B: Technical Specifications: Detailed technical requirements and standards for the works

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

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Relevant legal definitions
Agreement
Applicable Laws
Approved Documents
Bill of Quantities
Certificate of Completion
Commencement Date
Completion Date
Contract Documents
Contract Sum
Defects Liability Period
Drawings
Extension of Time
Force Majeure
Main Contract
Main Contractor
Main Works
Material Breach
Payment Certificate
Performance Bond
Practical Completion
Project
Project Manager
Project Site
Quality Standards
Retention Sum
Safety Requirements
Schedule of Rates
Scope of Works
Site Instructions
Specifications
Subcontractor
Subcontract Works
Technical Requirements
Variation Order
Warranty Period
Work Programme
Working Day
Clauses
Interpretation
Scope of Works
Duration
Contract Price
Payment Terms
Performance Obligations
Quality Standards
Health and Safety
Materials and Equipment
Site Access
Progress Monitoring
Variations
Extension of Time
Insurance
Indemnity
Warranties
Defects Liability
Performance Security
Intellectual Property
Confidentiality
Force Majeure
Suspension
Termination
Dispute Resolution
Assignment
Notices
Governing Law
Compliance
Labor Requirements
Environmental Protection
Record Keeping
Audit Rights
Risk Allocation
Liability Limitations
Relevant Industries

Construction

Engineering

Infrastructure Development

Manufacturing

Oil and Gas

Property Development

Telecommunications

Mining

Utilities

Industrial Services

Commercial Development

Renewable Energy

Relevant Teams

Legal

Procurement

Operations

Project Management

Commercial

Risk Management

Compliance

Technical Services

Quality Assurance

Contract Administration

Engineering

Site Operations

Relevant Roles

Project Manager

Contract Manager

Legal Counsel

Procurement Manager

Construction Manager

Site Supervisor

Commercial Director

Operations Manager

Quality Assurance Manager

Risk Manager

Technical Director

Chief Operating Officer

Compliance Officer

Project Engineer

Quantity Surveyor

Industries
Contracts Act 1950: Fundamental law governing contract formation, validity, and enforcement in Malaysia, essential for establishing the basic framework of the subcontract agreement
Construction Industry Development Board Act 1994: Regulates construction activities and contractors, including registration requirements and quality standards for construction-related subcontracting
Employment Act 1955: Governs employment relationships and working conditions, relevant when subcontractors employ workers for the project
Occupational Safety and Health Act 1994: Establishes safety requirements and standards that both main contractors and subcontractors must adhere to in their operations
Workmen's Compensation Act 1952: Provides compensation framework for work-related injuries, crucial for protecting workers involved in subcontracted work
Industrial Relations Act 1967: Governs relationships between employers and workers, including dispute resolution mechanisms
Sales Tax Act 2018: Relevant for taxation aspects of subcontracting services and materials supplied under the agreement
Service Tax Act 2018: Applies to service-based subcontracting arrangements and their taxation requirements
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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