Client-Friendly Consulting Agreement Template
CONSULTING AGREEMENT
This Consulting Agreement (hereinafter referred to as the "Agreement") is made and entered into on [Effective Date] (the "Effective Date") by and between:
[Client Legal Name], a company duly incorporated and existing under the laws of [Country], having its registered office at [Client Registered Address], registered under number [Client Registration Number], represented by [Client Representative Name] in the capacity of [Client Representative Title], duly authorized for the purposes hereof (hereinafter referred to as the "Client");
and
[Consultant Full Name], an individual sole trader of legal age and full capacity, residing at or having a principal place of business at [Consultant Address], holding identification or trade registration number [Consultant Identification Number] (hereinafter referred to as the "Consultant");
(the Client and the Consultant hereinafter referred to individually as a "Party" and collectively as the "Parties").
WHEREAS, the Client is engaged in the business of [Description of Client's Business] and desires to obtain certain professional advisory and consulting services in connection with its operations and projects;
WHEREAS, the Consultant represents to possess the requisite expertise, qualifications, skills and experience necessary to render such services and holds itself out to the public as an independent provider of consultancy services;
WHEREAS, the Parties, after due negotiation, have agreed to formalize the terms and conditions governing the Consultant's engagement in a written instrument;
NOW, THEREFORE, in consideration of the mutual covenants, undertakings and promises contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties hereby agree as follows.
Interpretation and Definitions
In this Agreement, unless the context otherwise requires, the following words and expressions shall bear the meanings respectively ascribed to them hereinafter, and cognate expressions shall be construed accordingly.
"Confidential Information" shall mean any and all information, in whatever form or medium, whether oral, written, electronic, visual or otherwise, disclosed by or on behalf of the Client to the Consultant, or otherwise acquired or developed by the Consultant in the course of or in connection with the performance of the Services, including without limitation technical, commercial, financial, operational, strategic, marketing, personnel, customer, supplier and other business information, trade secrets, know-how, methodologies, and the existence and terms of this Agreement.
"Deliverables" shall mean any and all reports, documents, analyses, recommendations, specifications, designs, drawings, data, models, software, works of authorship, inventions, discoveries, improvements, and any other tangible or intangible outputs, materials or work product conceived, created, developed, prepared, generated or produced by the Consultant, whether alone or in collaboration with others, in the course of or in connection with the performance of the Services under this Agreement.
"Services" shall mean the professional consulting and advisory services to be rendered by the Consultant to the Client pursuant to this Agreement, as more particularly described in the clause titled Engagement and Scope of Services and as may be further specified in writing by the Client from time to time.
"Fees" shall mean the fixed project fee payable by the Client to the Consultant as consideration for the proper and complete performance of the Services, as set out in the clause titled Fees, Expenses and Invoicing.
The headings and sub-headings contained in this Agreement are inserted for convenience of reference only and shall not affect the construction or interpretation hereof. Words importing the singular shall include the plural and vice versa; words importing any gender shall include all genders; and references to persons shall include natural persons, bodies corporate, partnerships, firms and unincorporated associations.
References to any clause, sub-clause or paragraph are, unless otherwise expressly stated, references to clauses, sub-clauses or paragraphs of this Agreement. Any reference to "including", "includes" or "in particular" shall be construed as being by way of illustration only and shall not limit the generality of the preceding words.
Any reference to a statute, statutory provision, regulation or code shall be construed as a reference to the same as amended, re-enacted, consolidated or replaced from time to time, and to any subordinate legislation made thereunder.
Engagement and Scope of Services
The Client hereby engages the Consultant, and the Consultant hereby accepts such engagement, to perform the Services upon the terms and subject to the conditions set out in this Agreement.
The Services shall comprise, without limitation, [Detailed Description of Consulting Services], together with such other advisory, analytical and consultative tasks as the Client may reasonably request from time to time within the scope of the Consultant's professional expertise.
The Consultant shall perform the Services with such care, skill, diligence and professional competence as would reasonably be expected of a highly qualified and experienced consultant engaged in work of a similar nature, scale and complexity.
The Client reserves the right, at any time and from time to time during the Term, to issue reasonable written instructions, directions or priorities concerning the manner, timing or focus of the Services, and the Consultant shall promptly comply with the same, provided that such instructions do not materially alter the overall scope hereof without the Consultant's consent, such consent not to be unreasonably withheld or delayed.
Any material variation, extension or reduction of the scope of the Services shall only be binding upon the Parties if agreed in writing and signed by their respective duly authorized representatives, and such variation shall specify any corresponding adjustment to the Fees, timetable or other terms.
The Consultant acknowledges that time shall be of the essence in the performance of the Services and in the delivery of all Deliverables, and shall adhere to all deadlines, milestones and timetables communicated by the Client.
The engagement hereunder shall be non-exclusive from the Consultant's perspective, provided however that the Consultant shall not undertake any assignment, engagement or activity that would, or could reasonably be expected to, conflict with, impair or prejudice the proper performance of the Services or the interests of the Client.
Place of Performance and Client Facilities
The Services shall be performed primarily at the Client's premises located at [Client Premises Address], or at such other premises of the Client as may be designated by the Client from time to time, in order to facilitate close collaboration with the Client's personnel and immediate access to relevant information, systems and resources.
The Client shall, during the Term, make available to the Consultant such workspace, office facilities, equipment, utilities, network access and other reasonable support as the Client, in its sole discretion, considers necessary to enable the Consultant to perform the Services at the Client's premises.
The Consultant may, with the prior written consent of the Client (such consent to be at the Client's absolute discretion), perform ancillary or preparatory elements of the Services at other locations, provided always that any such remote performance shall not prejudice the quality, timeliness, confidentiality or security of the Services or Deliverables.
Whilst on the Client's premises, the Consultant shall comply at all times with all rules, policies, procedures, codes of conduct and security requirements of the Client as notified to the Consultant from time to time, including those relating to health and safety, information security, access control, acceptable use of information technology, and ethical conduct.
The Consultant acknowledges that any workspace, equipment or facilities provided by the Client remain the exclusive property of the Client, and the Consultant shall use the same solely for the performance of the Services and shall return the same to the Client upon demand or upon termination of this Agreement, in the same condition as received, fair wear and tear excepted.
The Client shall have no obligation to provide the Consultant with any particular workstation or dedicated office, and the Consultant shall have no proprietary or possessory right of any kind over any space, equipment or facility made available to it.
The Consultant shall observe the normal business hours of the Client when attending the Client's premises, save as may be otherwise agreed with the Client for the purpose of meeting project deadlines or operational requirements.
Term and Commencement
This Agreement shall commence on the Effective Date and shall, unless earlier terminated in accordance with the provisions set out in the clause titled Termination and Consequences of Termination, continue in full force and effect until [End Date] or until the completion of the Services and acceptance of all Deliverables by the Client, whichever occurs later (the "Term").
The commencement of the Services shall occur on [Services Commencement Date], or on such other date as may be notified in writing by the Client, and the Consultant shall ensure its full availability from such date to undertake and progress the Services without delay.
The Term may be extended for such further period or periods as the Parties may agree in writing, provided that any such extension shall be subject to such revised terms, including as to Fees and scope, as the Client may reasonably require.
Any extension, renewal or continuation of the engagement beyond the agreed Term shall not operate as a waiver of any right or remedy accrued to either Party prior to such extension and shall not create any presumption of indefinite engagement.
The Consultant shall not be entitled to any expectation, entitlement or right of renewal of this Agreement, and the Client shall be under no obligation to engage the Consultant for any further term, project or assignment following the expiry hereof.
Should the Consultant anticipate any delay in the commencement or progress of the Services, the Consultant shall promptly notify the Client in writing, setting out the cause of the delay, its anticipated duration and the mitigation measures proposed, without prejudice to the Client's rights and remedies under this Agreement or at law.
Consultant's Obligations and Standard of Performance
The Consultant shall at all times during the Term perform the Services honestly, faithfully, diligently and in a professional, competent, timely and workmanlike manner, employing the highest standards of skill, care and prudence customary in the Consultant's profession.
The Consultant shall devote such time, attention, resources and expertise as are necessary and appropriate for the proper and expeditious performance of the Services, and shall ensure its continuous availability to the Client during normal business hours and such other hours as the Services may reasonably require.
The Consultant shall comply with all applicable laws, regulations, rules, orders, codes of practice, professional standards and ethical obligations relevant to the performance of the Services, and shall obtain and maintain throughout the Term all licenses, permits, registrations and authorizations necessary therefor.
The Consultant shall not, without the prior written consent of the Client (which may be granted or withheld in the Client's sole discretion), subcontract, delegate, assign or otherwise transfer any part of the Services or its obligations hereunder to any third party, the Services being personal in nature and engaged on the basis of the Consultant's particular skills, qualifications and personal attributes.
The Consultant shall maintain complete, accurate and contemporaneous records of its performance of the Services, including time spent, activities undertaken, meetings attended, and progress of Deliverables, and shall make such records available to the Client upon reasonable request during the Term and for a period of [Record Retention Period] thereafter.
The Consultant shall promptly inform the Client of any matter which comes to the Consultant's attention and which may materially affect the performance of the Services, the interests of the Client, or the subject matter of this Agreement, including any actual or potential conflict of interest, delay, risk, defect or error.
The Consultant shall not, during the Term, engage in any activity, undertaking or employment that competes with the business of the Client in relation to the subject matter of the Services, nor shall it accept any instruction or compensation from any third party in a manner that creates a conflict with the Consultant's duties hereunder.
The Consultant shall conduct itself in a manner that upholds the reputation and goodwill of the Client, and shall refrain from any act, omission or statement that could reasonably be expected to bring the Client, its affiliates, officers, employees or clients into disrepute.
Confidentiality and Non-Disclosure
The Consultant acknowledges and agrees that in the course of the performance of the Services it shall have access to, and shall be entrusted with, Confidential Information of a highly sensitive, proprietary and valuable nature belonging to the Client.
The Consultant shall at all times, both during the Term and for a period of [Confidentiality Period] after the expiration or termination hereof for any reason whatsoever, hold all Confidential Information in strict confidence and shall not, directly or indirectly, disclose, publish, reveal, communicate, divulge, copy, reproduce, exploit or make use of any Confidential Information for any purpose other than the proper performance of the Services for the exclusive benefit of the Client.
The Consultant shall employ no lesser standard of care in protecting the Confidential Information than it employs in protecting its own confidential information of a similar nature, and in any event shall employ a standard of care no less than that of a reasonable and prudent professional.
The obligations of confidentiality set forth herein shall not apply to information which the Consultant can demonstrate by competent written evidence: was lawfully in its possession, free of any obligation of confidence, prior to its disclosure by the Client; was or became publicly available otherwise than through any act or default of the Consultant; was lawfully received from a third party entitled to disclose the same without restriction; or was independently developed by the Consultant without reference to or use of the Confidential Information.
Where the Consultant is required by law, regulation, court order or competent governmental authority to disclose any Confidential Information, it shall, to the extent legally permissible, promptly notify the Client in writing prior to such disclosure, cooperate with the Client in seeking a protective order or other appropriate remedy, and limit any such disclosure strictly to that which is legally required.
Upon the earlier of the Client's request or the expiration or termination of this Agreement, the Consultant shall promptly return to the Client, or at the Client's option irrevocably destroy, all Confidential Information in its possession, custody or control, together with all copies, extracts and derivative materials, and shall certify such return or destruction in writing to the Client.
The Consultant acknowledges that any breach or threatened breach of this clause would cause irreparable harm to the Client for which monetary damages would be an inadequate remedy, and accordingly the Client shall be entitled to seek and obtain injunctive relief, specific performance and other equitable remedies, without prejudice to any other remedies available at law or in equity, and without the need to post bond or prove actual damages.
Intellectual Property Rights and Assignment of Deliverables
The Consultant hereby irrevocably and unconditionally assigns, transfers and conveys to the Client, with full title guarantee and free from all encumbrances, all right, title and interest, including without limitation all intellectual property rights of whatever nature, in and to all Deliverables and all materials, works, inventions, developments, improvements, know-how and other outputs created, conceived, developed, reduced to practice or first fixed in a tangible medium by the Consultant, whether alone or jointly with others, in the course of or in connection with the performance of the Services.
The assignment effected by this clause shall extend to all intellectual property rights of every kind and nature throughout the world, whether now known or hereafter devised, including without limitation copyrights, patent rights, trademark rights, design rights, database rights, trade secret rights, moral rights and any applications, registrations, extensions and renewals thereof, in each case for the full term of such rights and all extensions and renewals thereof.
To the fullest extent permitted by applicable law, the Consultant hereby irrevocably and unconditionally waives in favour of the Client all moral rights, rights of integrity, attribution, paternity and similar personal rights that the Consultant may have in any Deliverable, and consents to any act or omission that would otherwise infringe such rights.
The Consultant shall, at the Client's request and expense, promptly execute all such further documents, instruments and assurances and perform all such further acts as the Client may reasonably require to perfect, confirm, register or enforce the Client's ownership of the Deliverables and the intellectual property rights therein, both during the Term and thereafter.
The Consultant represents and warrants that the Deliverables shall be original to the Consultant, shall not infringe or misappropriate any intellectual property right or other proprietary right of any third party, and that the Consultant has or shall have the full right, power and authority to make the assignment set forth herein free of any third party claim.
Any pre-existing materials, methodologies or tools owned by the Consultant that are incorporated into or necessary for the use of the Deliverables ("Background IP") shall remain the property of the Consultant, provided that the Consultant hereby grants to the Client a perpetual, irrevocable, worldwide, royalty-free, fully paid-up, transferable, sublicensable and non-exclusive license to use, reproduce, modify, adapt, distribute and exploit such Background IP to the extent necessary for the Client's full use and enjoyment of the Deliverables.
The Consultant shall not incorporate into any Deliverable any third party or open source material without the prior written consent of the Client, and shall maintain complete records of all such material incorporated with such consent.
The Fees payable hereunder shall be deemed to include full consideration for the assignment of intellectual property rights and the grant of licenses provided for in this clause, and no further sums shall be payable to the Consultant in respect thereof.
Independent Contractor Status
The Consultant is engaged by the Client as an independent contractor, and nothing in this Agreement shall be construed as creating a relationship of employer and employee, principal and agent, partnership, joint venture, franchise or any other fiduciary relationship between the Parties.
The Consultant shall have no authority, and shall not hold itself out as having any authority, to bind, represent, incur any liability on behalf of, or enter into any contract or commitment in the name of the Client, nor to pledge the Client's credit in any manner whatsoever.
The Consultant shall be solely responsible for the manner and means by which the Services are performed, subject to the Client's reasonable instructions as to the results to be achieved and the standards to be met, and the Consultant shall exercise its own independent professional judgment in the conduct of the Services.
The Consultant shall not be entitled to receive, and hereby expressly waives any claim to, any employment-related benefits of any kind from the Client, including without limitation salary, wages, bonuses, pension or retirement contributions, paid leave, sick pay, holiday pay, severance, redundancy, medical benefits, insurance coverage, stock options or any other emolument customarily afforded to employees.
The Consultant shall be solely responsible for the provision of all tools, equipment, materials, training and resources necessary for the performance of the Services, save for those facilities expressly made available by the Client pursuant to the clause titled Place of Performance and Client Facilities.
The Consultant shall indemnify, defend and hold harmless the Client against any and all claims, demands, actions, liabilities, losses, damages, costs and expenses (including reasonable legal fees) arising from or in connection with any assertion by any authority or third party that the Consultant is an employee, worker or dependent contractor of the Client, or that the Client is liable for any employment-related taxes, contributions, benefits or claims in respect of the Consultant.
The Consultant acknowledges that it bears the full commercial risk and reward of its engagement hereunder and that it is free, subject to the restrictions set forth elsewhere in this Agreement, to provide services to other clients and to conduct its own independent business.
Fees, Expenses and Invoicing
In full and complete consideration for the proper performance of the Services and the assignment of intellectual property rights contemplated hereunder, the Client shall pay to the Consultant a fixed project fee in the aggregate amount of [Amount] [Currency] (the "Fees"), exclusive of any applicable taxes properly chargeable in accordance with the clause titled Taxes and Statutory Deductions.
The Fees shall be payable in accordance with the following milestone schedule: [Milestone 1 Description – Amount – Trigger]; [Milestone 2 Description – Amount – Trigger]; [Milestone 3 Description – Amount – Trigger]; and such final installment as corresponds to final acceptance by the Client of all Deliverables.
The Consultant shall submit invoices to the Client at the address designated by the Client, in such form and containing such particulars as the Client may reasonably require, including a description of the Services performed, the milestone to which the invoice relates, the amount claimed, applicable taxes, and the Consultant's banking details for payment.
The Client shall pay each undisputed invoice within thirty (30) days from the date of its receipt by the Client, by electronic transfer to the bank account nominated in writing by the Consultant, provided that the invoice complies with the requirements set out in this clause and the Services or milestone to which it relates have been performed and accepted to the Client's reasonable satisfaction.
The Client shall be entitled to withhold payment of any amount which it disputes in good faith, pending resolution of such dispute, and the Client shall notify the Consultant in writing of the nature and grounds of such dispute within a reasonable period following receipt of the relevant invoice.
The Consultant shall be solely responsible for all costs and expenses incurred in connection with the performance of the Services, and no additional expenses, disbursements or reimbursements shall be payable by the Client save where expressly pre-approved by the Client in writing, supported by appropriate receipts and documentation, and billed at cost without mark-up.
The Client shall have the right to set off, deduct or withhold from any sum due to the Consultant hereunder any amount owed by the Consultant to the Client under this Agreement or otherwise, including without limitation sums claimed by way of damages, indemnity or overpayment.
The Fees shall remain fixed for the duration of the Term and shall not be subject to escalation, indexation or revision save by written agreement of the Parties pursuant to a duly executed variation.
Taxes and Statutory Deductions
The Consultant shall be solely and exclusively responsible for the assessment, declaration, payment and remittance of all taxes, levies, duties, contributions, fees and imposts of any nature whatsoever (including without limitation income tax, self-employment tax, social security contributions, value added or sales tax, and any similar charges) arising out of or in connection with the Fees received hereunder or the conduct of the Consultant's business.
The Client shall not be obliged to make any deductions or withholdings from the Fees in respect of taxes or statutory contributions unless and to the extent required to do so by applicable law, in which case the Client shall make such deductions and withholdings and shall account for the same to the relevant competent authority, and payment to the Consultant of the net amount shall constitute full discharge of the Client's payment obligation.
Where any value added tax, sales tax, goods and services tax or similar transaction tax is properly chargeable in respect of any supply made by the Consultant hereunder, the Consultant shall issue a valid tax invoice complying with all applicable legal requirements, and the Client shall pay such tax in addition to the Fees upon receipt of such valid tax invoice.
The Consultant shall promptly provide to the Client such tax identification numbers, tax residency certificates, declarations and other information or documentation as the Client may reasonably require to comply with its tax reporting, withholding or filing obligations.
The Consultant shall indemnify, defend and hold harmless the Client against any and all claims, assessments, penalties, interest, surcharges, costs and expenses imposed upon or incurred by the Client as a result of any failure by the Consultant to properly declare, pay or remit any tax, contribution or statutory charge in respect of the Fees or the Consultant's engagement hereunder.
Each Party shall bear its own costs in relation to its own tax compliance, and nothing in this Agreement shall oblige one Party to pay the other Party's taxes save as expressly provided herein.
Data Protection and Information Security
The Consultant shall, in the course of performing the Services, comply with all applicable data protection, privacy, cybersecurity and information security laws, regulations and recognised industry standards, and with all data protection and information security policies of the Client as notified to the Consultant from time to time.
Where the Consultant processes any personal data on behalf of the Client in connection with the Services, the Consultant shall act strictly as a processor on the Client's documented instructions, shall process such personal data solely for the purposes of performing the Services, and shall not retain, use, disclose or transfer such personal data for any other purpose.
The Consultant shall implement and maintain appropriate technical and organizational measures to protect any Confidential Information, personal data and Client systems or information to which it has access against unauthorized or unlawful access, use, disclosure, alteration, loss, destruction or damage, including without limitation measures as to access control, encryption, authentication, logging, backup and incident response.
The Consultant shall ensure that any individual acting under its authority and having access to Confidential Information or personal data is subject to binding confidentiality obligations no less protective than those contained in this Agreement, and has received appropriate training in data protection and information security.
The Consultant shall promptly, and in any event within [Notification Period] of becoming aware thereof, notify the Client in writing of any actual, suspected or threatened personal data breach, security incident, unauthorized access or loss of Confidential Information or personal data, and shall provide the Client with all information and assistance reasonably required to investigate, mitigate, remediate and report such incident.
The Consultant shall not transfer any personal data to any jurisdiction outside the jurisdiction from which such data was originally received without the prior written consent of the Client and the implementation of such safeguards as the Client may require.
Upon termination or expiry of this Agreement, or upon the earlier request of the Client, the Consultant shall return to the Client or securely destroy all personal data and Confidential Information in its possession or control, in accordance with the Client's instructions, and shall certify such return or destruction in writing.
Representations and Warranties
The Consultant represents, warrants and undertakes to the Client that it has full right, power, capacity and authority to enter into this Agreement and to perform its obligations hereunder, and that the execution and performance of this Agreement does not and will not contravene any law, regulation, contract, obligation or restriction binding upon it.
The Consultant further represents and warrants that it possesses the requisite skills, qualifications, experience, expertise, resources, licenses and authorizations necessary for the proper and lawful performance of the Services, and that the Services shall be performed in accordance with the highest professional standards and all applicable laws and regulations.
The Consultant represents and warrants that the Deliverables shall be original to it (save in respect of properly licensed third party or Background IP in accordance with this Agreement), shall not infringe or misappropriate any intellectual property or proprietary right of any third party, and shall be free from any lien, charge, encumbrance or third party claim.
The Consultant represents and warrants that it is not, and shall not during the Term place itself, in any position which gives rise to an actual or potential conflict of interest in relation to the Services or the Client, and shall promptly disclose to the Client in writing any circumstances which could reasonably give rise to such a conflict.
The Consultant represents and warrants that neither it nor any of its personnel has been convicted of any offence involving dishonesty, fraud, corruption, money laundering, terrorism or any similar matter, and that it shall comply with all applicable anti-bribery, anti-corruption, anti-money laundering, sanctions and trade control laws in connection with this Agreement.
The Consultant represents and warrants that all information, representations and statements provided by it to the Client in connection with its engagement hereunder are true, accurate, complete and not misleading in any material respect.
Each representation and warranty set forth herein shall be deemed to be a continuing representation and warranty throughout the Term, and the Consultant shall promptly notify the Client in writing if any such representation or warranty ceases to be true, accurate and complete in any material respect.
Indemnification
The Consultant shall indemnify, defend and hold harmless the Client, its affiliates, and their respective officers, directors, employees, agents and representatives (collectively, the "Client Indemnified Parties") from and against any and all claims, demands, suits, actions, proceedings, liabilities, losses, damages, judgments, settlements, fines, penalties, costs and expenses (including without limitation reasonable legal fees and disbursements) arising out of, resulting from or in connection with: any breach by the Consultant of any representation, warranty, covenant or obligation under this Agreement; any negligent, reckless, fraudulent or wilful act or omission of the Consultant; any infringement or alleged infringement by the Deliverables or the Services of any intellectual property right or other right of any third party; any claim that the Consultant is or should be treated as an employee, worker or dependent contractor of the Client or that any tax, contribution or benefit is owed by the Client in respect of the Consultant; any breach by the Consultant of its confidentiality, data protection or information security obligations; and any personal injury, death or property damage caused by the Consultant or its personnel.
The Client shall notify the Consultant in writing, with reasonable promptness, of any claim in respect of which indemnification is sought hereunder, provided that any failure or delay in giving such notice shall not relieve the Consultant of its indemnification obligations save to the extent that the Consultant is actually and materially prejudiced thereby.
The Consultant shall, at the Client's option, assume and conduct the defense of any indemnified claim with counsel reasonably acceptable to the Client, provided that the Client shall at all times have the right to participate in such defense with counsel of its own choice at its own expense, and the Consultant shall not settle or compromise any such claim without the Client's prior written consent (such consent not to be unreasonably withheld) if such settlement would impose any obligation or admission upon the Client.
The Client shall, at the Consultant's reasonable request and expense, provide such reasonable cooperation as the Consultant may require in the defense of any indemnified claim.
The indemnities set forth in this clause shall survive the expiration or termination of this Agreement and shall be in addition to, and not in substitution for, any other right or remedy of the Client Indemnified Parties under this Agreement or at law or in equity.
The Consultant shall not be entitled to any corresponding indemnity from the Client, save in respect of liability to third parties arising directly from the Client's own gross negligence or wilful misconduct, in which event the Client's liability shall be subject to the limitations set forth in the clause titled Limitation of Liability.
Limitation of Liability
Nothing in this Agreement shall operate to exclude or limit either Party's liability for: death or personal injury caused by its negligence; fraud or fraudulent misrepresentation; wilful misconduct; or any other liability which cannot lawfully be excluded or limited.
Subject to the foregoing paragraph, the Consultant's liability to the Client arising out of or in connection with this Agreement shall not be excluded or limited in respect of: breach of the confidentiality, data protection or information security provisions hereof; infringement or misappropriation of intellectual property rights; the indemnification obligations set forth in the clause titled Indemnification; or any breach arising from the Consultant's gross negligence, wilful misconduct or fraud.
Subject to the foregoing paragraphs, the aggregate liability of the Client to the Consultant arising out of or in connection with this Agreement, whether in contract, tort (including negligence), breach of statutory duty, misrepresentation or otherwise, shall not in any event exceed the total amount of Fees actually paid by the Client to the Consultant under this Agreement during the twelve (12) months immediately preceding the event giving rise to the claim.
In no event shall the Client be liable to the Consultant for any loss of profit, loss of revenue, loss of business, loss of goodwill, loss of anticipated savings, loss of opportunity, loss or corruption of data, or for any indirect, consequential, special, incidental, punitive or exemplary damages, however arising, whether or not such losses were foreseeable or the Client had been advised of the possibility thereof.
The Consultant acknowledges that the limitations and exclusions of liability contained herein are reasonable in light of the nature of the engagement, the Fees payable and the risks allocated between the Parties, and have been taken into account in the determination of the commercial terms of this Agreement.
Each provision of this clause shall be construed as a separate and independent limitation or exclusion, and if any such provision is held to be unenforceable in whole or in part, the remaining provisions shall continue in full force and effect.
Insurance
The Consultant shall, throughout the Term and for a period of [Insurance Tail Period] thereafter, effect and maintain at its own cost with reputable insurers of good financial standing such insurance policies as are appropriate to cover its obligations and liabilities under this Agreement, including without limitation professional indemnity insurance, public liability insurance and such other insurance as the Client may reasonably require.
The minimum limits of indemnity shall be not less than [Amount] [Currency] per claim and in the aggregate per annum for professional indemnity insurance, and not less than [Amount] [Currency] per occurrence for public liability insurance, or such higher amounts as the Client may reasonably require having regard to the nature and scale of the Services.
The Consultant shall, upon request by the Client, promptly provide the Client with certificates of insurance, policy summaries or other evidence reasonably satisfactory to the Client to demonstrate compliance with the insurance requirements set forth in this clause.
The Consultant shall notify the Client in writing without undue delay of any cancellation, non-renewal, material amendment or reduction in cover of any insurance policy maintained pursuant to this clause, and of any claim or circumstance which may give rise to a claim under any such policy that could affect the Consultant's performance under this Agreement.
The existence, extent or adequacy of any insurance maintained by the Consultant shall not operate to limit or discharge the Consultant's liabilities, obligations or indemnities under this Agreement, nor shall it constitute a cap on the Consultant's financial responsibility hereunder.
The Consultant shall not do or omit to do anything which would or might vitiate, invalidate or prejudice any insurance policy maintained pursuant to this clause.
Termination and Consequences of Termination
The Client shall be entitled to terminate this Agreement at any time and for any reason or no reason, by giving the Consultant not less than [Notice Period] days' prior written notice of termination, without any obligation to make any payment or compensation to the Consultant other than for Services duly performed and accepted up to the effective date of termination.
The Client shall be entitled to terminate this Agreement forthwith by written notice to the Consultant, without any liability to the Consultant, upon the occurrence of any of the following events: the Consultant commits a material breach of this Agreement which is incapable of remedy, or which is capable of remedy but is not remedied within [Cure Period] days of written notice specifying the breach and requiring its remedy; the Consultant commits any persistent or repeated breach of this Agreement; the Consultant becomes insolvent, bankrupt, enters into any arrangement with its creditors, or ceases or threatens to cease to carry on business; the Consultant is unable to perform the Services for a continuous period of [Incapacity Period] by reason of illness, incapacity or any other cause; the Consultant engages in any conduct which, in the Client's reasonable opinion, brings or is likely to bring the Client into disrepute; or there occurs any actual or potential conflict of interest which, in the Client's reasonable opinion, cannot be adequately managed.
The Consultant may terminate this Agreement by giving the Client not less than [Consultant Notice Period] days' prior written notice, only in the event of a material breach by the Client of its payment obligations hereunder which remains unremedied for a period of [Cure Period] days following written notice specifying such breach.
Upon termination or expiry of this Agreement for any reason: all rights and licenses granted by the Client to the Consultant shall immediately cease; the Consultant shall promptly deliver to the Client all Deliverables (whether complete or in progress), Confidential Information, Client property, documents and materials in its possession or control; the Consultant shall provide reasonable transition assistance as the Client may require; and the Consultant shall cease to hold itself out as being in any way connected with the Client.
The Client shall, within a reasonable period following termination, pay to the Consultant such pro-rated portion of the Fees as corresponds to Services duly performed and Deliverables actually accepted by the Client up to the effective date of termination, less any amounts owed by the Consultant to the Client and less any damages, losses, costs or expenses incurred by the Client as a result of any breach by the Consultant giving rise to the termination.
Termination or expiry of this Agreement shall be without prejudice to any rights, remedies, obligations or liabilities of either Party which have accrued prior to termination or expiry, or which are expressly or by implication intended to survive termination or expiry, including without limitation the clauses relating to confidentiality, intellectual property, indemnification, limitation of liability, data protection, taxes, governing law and dispute resolution.
The Consultant acknowledges and agrees that it shall have no claim against the Client for compensation, damages, loss of opportunity or loss of profit by reason of the proper exercise by the Client of its termination rights hereunder.
Governing Law and Dispute Resolution
This Agreement, and any dispute, controversy, claim or difference arising out of or in connection with it (including its existence, validity, interpretation, performance, breach or termination, and any non-contractual obligations arising out of or in connection with it), shall be governed by and construed in accordance with the laws of [Governing Law Jurisdiction], without regard to its conflict of laws principles.
The Parties shall endeavour, in good faith, to resolve amicably through consultation and negotiation any dispute or difference arising out of or in connection with this Agreement, and either Party may initiate such consultation by written notice to the other, specifying the nature of the dispute.
If the Parties fail to resolve the dispute by amicable negotiation within [Negotiation Period] days of the written notice referred to in the preceding clause, the matter shall be escalated to senior representatives of each Party for a further period of good faith discussion of not less than [Escalation Period] days.
Should the dispute remain unresolved following the escalation process, the Parties hereby irrevocably submit to the exclusive jurisdiction of the competent courts of [Jurisdiction] in respect of any legal action or proceeding arising out of or in connection with this Agreement, and waive any objection to the jurisdiction or venue of such courts on grounds of forum non conveniens or otherwise.
Notwithstanding the foregoing, the Client shall at all times be entitled, at its sole discretion, to seek interim, provisional, injunctive or equitable relief in any court of competent jurisdiction for the purpose of protecting its Confidential Information, intellectual property rights or other proprietary interests, without first having to engage in or complete the dispute resolution procedure set out above.
Each Party shall bear its own costs incurred in connection with any dispute resolution process, save that the court or tribunal of competent jurisdiction shall have the power to award costs in accordance with applicable law and procedure.
Pending resolution of any dispute, the Parties shall, insofar as reasonably practicable, continue to perform their respective obligations under this Agreement without prejudice to their respective positions in the dispute.
Miscellaneous Provisions
This Agreement, together with any documents expressly referred to herein, constitutes the entire agreement and understanding between the Parties with respect to the subject matter hereof, and supersedes and extinguishes all prior agreements, understandings, representations, warranties and arrangements of any nature, whether oral or written, between the Parties relating to such subject matter.
No variation, modification, amendment or supplement to this Agreement shall be valid or binding unless made in writing and duly signed by the authorized representatives of both Parties.
No failure or delay by either Party to exercise any right, power or remedy under this Agreement shall operate as a waiver thereof, nor shall any single or partial exercise of any such right, power or remedy preclude any other or further exercise thereof or the exercise of any other right, power or remedy; and any waiver shall only be effective if given in writing.
The Consultant shall not assign, transfer, charge, subcontract, novate or otherwise dispose of this Agreement or any of its rights or obligations hereunder without the prior written consent of the Client, which may be withheld in the Client's absolute discretion; the Client may freely assign, transfer, charge, subcontract or novate this Agreement or any of its rights or obligations hereunder, in whole or in part, to any affiliate or to any successor in title to its business.
If any provision of this Agreement is held by any court or competent authority to be invalid, illegal or unenforceable in whole or in part, such provision or part shall to that extent be severed from this Agreement and the remaining provisions shall continue in full force and effect, and the Parties shall endeavour in good faith to replace the invalid provision with a valid provision that achieves as closely as possible the original commercial intent.
Any notice or other communication to be given under or in connection with this Agreement shall be in writing and shall be delivered personally, sent by prepaid registered or recorded delivery post, or by email with confirmation of receipt, to the address or email address of the recipient Party set out in this Agreement or to such other address as may be notified by one Party to the other from time to time, and shall be deemed received upon actual delivery or acknowledgement of receipt.
Neither Party shall be liable for any failure or delay in performing its obligations hereunder (other than any payment obligation) to the extent such failure or delay is caused by an event of force majeure beyond its reasonable control, provided that the affected Party promptly notifies the other and takes all reasonable steps to mitigate the effects thereof; if such event continues for more than [Force Majeure Period] days, the Client may terminate this Agreement forthwith by written notice without liability.
Nothing in this Agreement is intended to, or shall be deemed to, confer any rights, benefits or remedies upon any person other than the Parties hereto and their permitted successors and assigns.
This Agreement may be executed in any number of counterparts, each of which when executed and delivered shall constitute an original, and all such counterparts together shall constitute one and the same instrument; execution by electronic signature or scanned copy shall be deemed valid and binding.
IN WITNESS WHEREOF, the Parties hereto have caused this Consulting Agreement to be duly executed by their respective authorized representatives as of the Effective Date first above written.
FOR AND ON BEHALF OF THE CLIENT:
[Client Legal Name]
Signature: ______________________________
Name: [Client Representative Name]
Title: [Client Representative Title]
Date: [Signature Date]
Address for Notices: [Client Address]
Email: [Client Email]
THE CONSULTANT:
[Consultant Full Name]
Signature: ______________________________
Name: [Consultant Full Name]
Identification / Registration Number: [Consultant Identification Number]
Date: [Signature Date]
Address for Notices: [Consultant Address]
Email: [Consultant Email]