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Intercompany Contract Template for Nigeria

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Key Requirements PROMPT example:

Intercompany Contract

"I need an Intercompany Contract to establish a shared services arrangement between our Nigerian parent company and its local subsidiary for IT and administrative services, with specific attention to transfer pricing compliance and service level agreements, to be implemented by March 2025."

Document background
The Intercompany Contract serves as a fundamental legal framework for structuring and documenting relationships between affiliated companies operating in Nigeria. This document is essential when establishing formal arrangements for services, goods, or resource sharing between related entities, ensuring compliance with Nigerian regulatory requirements, particularly CAMA 2020, tax laws, and transfer pricing regulations. It is commonly used in corporate group structures to formalize internal arrangements, document arm's length terms for tax purposes, and demonstrate regulatory compliance. The agreement is particularly crucial in the Nigerian business environment where regulatory scrutiny of intercompany arrangements has increased, requiring detailed documentation of internal business relationships and associated financial terms.
Suggested Sections

1. Parties: Identifies the contracting companies, including their full legal names, registration numbers, and registered addresses

2. Background: Sets out the context of the agreement, relationship between the parties, and purpose of the contract

3. Definitions: Defines key terms used throughout the agreement for clarity and consistency

4. Scope of Services/Relationship: Detailed description of the services, goods, or relationship being established between the companies

5. Payment Terms: Specifies pricing, payment methods, currencies, and payment schedules

6. Duration and Termination: Sets out the contract term, renewal provisions, and circumstances for termination

7. Obligations and Responsibilities: Details the specific duties and responsibilities of each party

8. Compliance and Reporting: Outlines compliance requirements with Nigerian laws, including tax and corporate regulations

9. Confidentiality: Provisions for protecting confidential information exchanged between the parties

10. Governing Law and Jurisdiction: Confirms Nigerian law as governing law and specifies jurisdiction for dispute resolution

11. Entire Agreement: States that the agreement supersedes all previous agreements and represents the complete understanding between parties

Optional Sections

1. Transfer Pricing Compliance: Required when parties are related entities and transfer pricing regulations apply

2. Foreign Exchange Provisions: Needed when contract involves foreign currency transactions

3. Intellectual Property Rights: Required when services or relationship involves IP transfer or usage

4. Force Majeure: Optional clause for circumstances beyond parties' control affecting contract performance

5. Data Protection: Required when personal or sensitive data will be shared between parties

6. Anti-Corruption Compliance: Recommended when dealing with public sector or high-risk transactions

7. Assignment and Subcontracting: Optional section regarding rights to transfer obligations or use subcontractors

8. Insurance Requirements: Needed when services involve operational risks requiring insurance coverage

Suggested Schedules

1. Schedule 1 - Service Level Agreement: Detailed specifications of service levels and performance metrics

2. Schedule 2 - Pricing Schedule: Detailed breakdown of prices, rates, and payment calculations

3. Schedule 3 - Key Personnel: List of key contacts and responsible personnel from each party

4. Schedule 4 - Compliance Requirements: Specific regulatory and compliance requirements applicable to the relationship

5. Appendix A - Required Forms: Standard forms for ordering, reporting, or other operational processes

6. Appendix B - Technical Requirements: Technical specifications or requirements if applicable to the services

Authors

Alex Denne

Head of Growth (Open Source Law) @ ¶¶Òõ¶ÌÊÓÆµ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions
















































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Relevant Industries

Manufacturing

Financial Services

Oil and Gas

Technology

Telecommunications

Fast-Moving Consumer Goods

Healthcare

Agriculture

Construction

Professional Services

Mining

Retail

Logistics

Relevant Teams

Legal

Finance

Tax

Compliance

Treasury

Corporate Secretariat

Risk Management

Operations

Commercial

Internal Audit

Accounting

Business Development

Relevant Roles

Legal Counsel

Chief Financial Officer

Tax Manager

Compliance Officer

Finance Director

Corporate Secretary

Managing Director

Operations Director

Group Financial Controller

Transfer Pricing Specialist

Risk Manager

Treasury Manager

Commercial Director

Business Development Manager

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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