The Letter of Intent for Appointment is commonly used in Malaysian business practice as a preliminary step before formal employment or appointment agreements. It serves to document the parties' intentions and establish basic understanding of terms while allowing for further negotiation and due diligence. This document type is particularly relevant when appointing senior executives, directors, or specialists where complex terms need to be agreed upon in principle before proceeding with formal documentation. While governed by Malaysian law, particularly the Contracts Act 1950 and relevant employment legislation, it typically includes provisions clarifying which terms are binding (such as confidentiality) and which are subject to further negotiation.
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1. Letter Header: Formal business letter header including date, recipient's name and address, and reference number if applicable
2. Subject Line: Clear indication that this is a Letter of Intent for Appointment
3. Introduction: Opening paragraph identifying the parties and expressing the intention to appoint
4. Role Details: Specific position or role being offered, including title and basic responsibilities
5. Key Terms: Primary terms of the appointment including proposed start date, duration, and basic compensation structure
6. Next Steps: Process for moving forward, including timeline for formal agreement
7. Expression of Intent: Clear statement that this is a non-binding letter of intent subject to formal agreement
8. Confidentiality: Basic confidentiality obligations regarding the proposed appointment
9. Closing: Formal closing including signature blocks for both parties
1. Conditions Precedent: Include when appointment is subject to specific conditions such as regulatory approvals, background checks, or qualification verifications
2. Exclusivity Period: Include when parties agree not to negotiate with others for a specific period
3. Good Faith Deposit: Include when a refundable deposit or commitment fee is required
4. Preliminary Compensation Structure: Include when detailed compensation terms need to be outlined before formal agreement
5. Key Performance Indicators: Include when specific performance expectations need to be established early
6. Governing Law: Include when jurisdiction needs to be explicitly stated, especially for cross-border appointments
1. Schedule A - Position Description: Detailed outline of the role, responsibilities, and reporting structure
2. Schedule B - Preliminary Terms: More detailed breakdown of proposed terms and conditions
3. Schedule C - Required Qualifications: List of required qualifications, certifications, or experience
4. Appendix 1 - Timeline: Proposed timeline for formal appointment process and key milestones
5. Appendix 2 - Required Documentation: List of documents required for formal appointment
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