The Standard Service Agreement serves as a fundamental legal framework for businesses operating in Saudi Arabia who wish to establish a formal service relationship. This document is essential when one party (the Service Provider) agrees to provide specific services to another party (the Client) under Saudi Arabian law and in compliance with Sharia principles. It is particularly relevant for both domestic and international companies providing services within the Kingdom, addressing key aspects such as service scope, payment terms, performance standards, and regulatory compliance. The agreement includes necessary provisions for VAT compliance, local commercial regulations, and dispute resolution mechanisms specific to the Saudi legal system. It can be customized for various service types while maintaining core elements required under Saudi law.
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1. Parties: Identification of the service provider and client, including full legal names, commercial registration numbers, and authorized representatives
2. Background: Context of the agreement and general purpose of the services
3. Definitions: Key terms used throughout the agreement, including service-specific terminology
4. Scope of Services: Detailed description of services to be provided, including core obligations and deliverables
5. Term and Commencement: Duration of the agreement and conditions for commencement
6. Payment Terms: Fees, payment schedule, invoicing requirements, and VAT considerations
7. Service Provider Obligations: Key responsibilities and commitments of the service provider
8. Client Obligations: Key responsibilities and commitments of the client
9. Compliance with Laws: Commitment to comply with Saudi laws and Sharia principles
10. Confidentiality: Protection of confidential information and trade secrets
11. Intellectual Property: Ownership and usage rights of IP created during service provision
12. Liability and Indemnification: Limitations of liability and indemnification obligations
13. Force Majeure: Events excusing performance and related procedures
14. Termination: Grounds for termination and consequences
15. Governing Law and Jurisdiction: Application of Saudi law and dispute resolution mechanisms
16. General Provisions: Standard boilerplate clauses including notices, amendments, and assignment
1. Service Levels: Specific performance metrics and standards, used when quantifiable service levels are required
2. Personnel Requirements: Specific qualifications or Saudization requirements, used when specific staff qualifications are crucial
3. Insurance: Insurance requirements and coverage levels, used for high-risk services
4. Data Protection: Data handling and privacy obligations, used when personal data is processed
5. Anti-Corruption: Specific anti-corruption provisions, used for government-related services or high-value contracts
6. Business Continuity: Disaster recovery and business continuity requirements, used for critical services
7. Environmental Compliance: Environmental protection measures, used for services with environmental impact
8. Warranties: Specific service warranties, used when quality guarantees are required
1. Schedule 1 - Service Specification: Detailed technical specifications of services to be provided
2. Schedule 2 - Fee Schedule: Detailed breakdown of fees, charges, and payment terms
3. Schedule 3 - Service Levels: Detailed performance metrics, measurement methods, and remedies
4. Schedule 4 - Key Personnel: List of key personnel and their roles
5. Schedule 5 - Required Documentation: List of documents required for service delivery
6. Schedule 6 - Compliance Requirements: Specific regulatory and Sharia compliance requirements
7. Appendix A - Form of Reports: Templates for required service reports
8. Appendix B - Change Order Form: Template for documenting changes to services
Relevant legal definitions
Agreement
Applicable Law
Business Day
Client
Commencement Date
Confidential Information
Deliverables
Effective Date
Force Majeure Event
Good Industry Practice
Governing Law
Intellectual Property Rights
Key Personnel
Material Breach
Notice
Payment Terms
Personnel
Representatives
Services
Service Level Agreement
Service Provider
Service Specification
Sharia Compliant
Term
Termination Date
Third Party
VAT
Working Hours
Change Order
Dispute
Emergency
Fees
Local Authority
Performance Standards
Quality Standards
Related Party
SAMA
Saudi Business Day
Subcontractor
Territory
Applicable Law
Business Day
Client
Commencement Date
Confidential Information
Deliverables
Effective Date
Force Majeure Event
Good Industry Practice
Governing Law
Intellectual Property Rights
Key Personnel
Material Breach
Notice
Payment Terms
Personnel
Representatives
Services
Service Level Agreement
Service Provider
Service Specification
Sharia Compliant
Term
Termination Date
Third Party
VAT
Working Hours
Change Order
Dispute
Emergency
Fees
Local Authority
Performance Standards
Quality Standards
Related Party
SAMA
Saudi Business Day
Subcontractor
Territory
Clauses
Interpretation
Appointment
Term and Duration
Services Scope
Service Provider Obligations
Client Obligations
Fees and Payment
VAT and Taxation
Service Levels
Quality Standards
Personnel
Representations and Warranties
Intellectual Property
Confidentiality
Data Protection
Record Keeping
Compliance with Laws
Anti-Corruption
Force Majeure
Liability and Indemnification
Insurance
Termination
Exit Management
Assignment and Subcontracting
Change Control
Notices
Dispute Resolution
Governing Law and Jurisdiction
Entire Agreement
Severability
Amendments
Third Party Rights
Language
Counterparts
Sharia Compliance
Local Content Requirements
Business Continuity
Health and Safety
Environmental Compliance
Audit Rights
Appointment
Term and Duration
Services Scope
Service Provider Obligations
Client Obligations
Fees and Payment
VAT and Taxation
Service Levels
Quality Standards
Personnel
Representations and Warranties
Intellectual Property
Confidentiality
Data Protection
Record Keeping
Compliance with Laws
Anti-Corruption
Force Majeure
Liability and Indemnification
Insurance
Termination
Exit Management
Assignment and Subcontracting
Change Control
Notices
Dispute Resolution
Governing Law and Jurisdiction
Entire Agreement
Severability
Amendments
Third Party Rights
Language
Counterparts
Sharia Compliance
Local Content Requirements
Business Continuity
Health and Safety
Environmental Compliance
Audit Rights
Relevant Industries
Information Technology
Professional Services
Construction
Healthcare
Education
Facilities Management
Manufacturing
Energy
Telecommunications
Financial Services
Logistics
Real Estate
Consulting
Relevant Teams
Legal
Procurement
Operations
Compliance
Commercial
Finance
Risk Management
Business Development
Supply Chain
Project Management
Account Management
Relevant Roles
Legal Counsel
Contract Manager
Procurement Manager
Business Development Manager
Operations Director
Compliance Officer
Commercial Manager
Project Manager
Account Manager
Risk Manager
Chief Financial Officer
General Manager
Supply Chain Manager
Legal Director
Chief Operating Officer
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