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Short Form Sponsorship Agreement Template for Saudi Arabia

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Key Requirements PROMPT example:

Short Form Sponsorship Agreement

"I need a Short Form Sponsorship Agreement for sponsoring a senior software engineer from India to work at our technology company in Riyadh, with employment starting March 2025 and including standard provisions for family visa sponsorship."

Document background
The Short Form Sponsorship Agreement is essential for establishing legally compliant sponsorship relationships in Saudi Arabia, where foreign individuals and businesses must have a local sponsor to operate or work in the country. This document is particularly useful for straightforward sponsorship arrangements where the scope of services and obligations is clearly defined and doesn't require extensive customization. It addresses the fundamental requirements of the Saudi sponsorship system while incorporating recent reforms and regulatory changes. The agreement is designed to be concise yet comprehensive, covering essential elements such as visa obligations, regulatory compliance, and financial responsibilities, while remaining adaptable to various business contexts and individual sponsorship scenarios. It serves as a foundational document for ensuring compliance with Saudi Arabian immigration and labor laws while protecting the interests of both sponsors and sponsored parties.
Suggested Sections

1. Parties: Identification of the Sponsor (Saudi entity/individual) and the Sponsored Party, including their full legal names, addresses, and registration/ID details

2. Background: Brief context of the sponsorship arrangement and the purpose of the agreement

3. Definitions: Key terms used in the agreement, including specific Saudi regulatory terms

4. Scope of Sponsorship: Clear outline of the sponsorship services to be provided, including visa, residence permit (Iqama), and other regulatory requirements

5. Term: Duration of the sponsorship arrangement, including start date and renewal provisions

6. Sponsor Obligations: Key responsibilities of the sponsor under Saudi law, including regulatory compliance and administrative support

7. Sponsored Party Obligations: Responsibilities and conduct requirements for the sponsored party, including compliance with Saudi laws and regulations

8. Fees and Expenses: Financial arrangements, including sponsorship fees and responsibility for government charges

9. Termination: Circumstances under which the agreement can be terminated and the process for termination

10. Governing Law and Jurisdiction: Confirmation of Saudi law as governing law and jurisdiction for disputes

Optional Sections

1. Employment Terms: Required if the sponsorship includes employment relationship, outlining basic employment terms in compliance with Saudi Labor Law

2. Business Activities: Required for commercial sponsorships, specifying permitted business activities under the sponsorship

3. Family Members: Include when sponsorship extends to family members of the sponsored party

4. Insurance Requirements: Include when specific insurance coverage is required as part of the sponsorship

5. Confidentiality: Include when sensitive business or personal information will be exchanged

6. Non-Competition: Include for business sponsorships where competitive restrictions are relevant

7. Force Majeure: Optional clause for handling unforeseen circumstances affecting sponsorship obligations

Suggested Schedules

1. Schedule 1 - Sponsorship Services: Detailed list of specific sponsorship services to be provided

2. Schedule 2 - Fee Schedule: Breakdown of all fees, charges, and payment terms

3. Schedule 3 - Required Documents: List of documents required for sponsorship processing and maintenance

4. Appendix A - Contact Details: Key contact information for both parties and their representatives

5. Appendix B - Compliance Checklist: Checklist of regulatory requirements and necessary permits

Authors

Alex Denne

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

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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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