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Success Fee Consulting Agreement Template for Saudi Arabia

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Key Requirements PROMPT example:

Success Fee Consulting Agreement

"I need a Success Fee Consulting Agreement for a digital transformation project in Riyadh, where the consultant will help implement a new ERP system by March 2025, with success fees tied to specific implementation milestones and system performance metrics."

Document background
This Success Fee Consulting Agreement is designed for use in the Saudi Arabian business environment where consultants provide services with compensation tied to specific, measurable outcomes. It is particularly relevant for projects where the consultant's remuneration is partially or fully dependent on achieving defined objectives. The document ensures compliance with Saudi commercial laws, including the Commercial Courts Law and relevant Royal Decrees, while adhering to Sharia principles regarding compensation structures. It includes essential elements such as clear success metrics, payment triggers, and dispute resolution mechanisms that align with Saudi legal requirements. This agreement type is commonly used in business transformation projects, market entry initiatives, and performance improvement programs where the consultant's compensation is aligned with the client's success.
Suggested Sections

1. Parties: Identification of the Consultant and the Client, including full legal names, addresses, and commercial registration details

2. Background: Context of the agreement, including the Client's business needs and Consultant's expertise

3. Definitions: Key terms used throughout the agreement, including definition of 'Success' and how it will be measured

4. Scope of Services: Detailed description of consulting services to be provided

5. Success Criteria: Clear and measurable criteria that define when success has been achieved

6. Fees and Payment Terms: Structure of success fees, calculation method, payment timing, and any base fees

7. Term and Termination: Duration of the agreement and circumstances for early termination

8. Obligations of the Consultant: Consultant's duties, standards of service, and compliance requirements

9. Obligations of the Client: Client's responsibilities, including provision of information and cooperation

10. Confidentiality: Protection of confidential information and trade secrets

11. Intellectual Property: Ownership and rights to work products and pre-existing IP

12. Representations and Warranties: Key promises and guarantees by both parties

13. Limitation of Liability: Boundaries of liability and indemnification provisions

14. Governing Law and Dispute Resolution: Application of Saudi law and dispute resolution mechanisms

15. General Provisions: Standard clauses including notices, amendments, and entire agreement

Optional Sections

1. Non-Competition: Restrictions on Consultant's ability to work with competitors, used when sensitive industry knowledge is involved

2. Force Majeure: Provisions for unforeseen circumstances preventing performance, particularly relevant in long-term engagements

3. Insurance: Requirements for professional liability insurance, used in high-value or high-risk engagements

4. Compliance with Anti-Corruption Laws: Specific provisions regarding compliance with anti-corruption laws, used in government-related projects

5. Shariah Compliance: Explicit confirmation of compliance with Islamic principles, used when required by regulatory authorities or parties

6. Third Party Rights: Rights of third parties under the agreement, used when project involves multiple stakeholders

7. Data Protection: Provisions for handling personal data, used when consulting involves access to personal information

Suggested Schedules

1. Schedule 1 - Scope of Services: Detailed breakdown of consulting services and deliverables

2. Schedule 2 - Success Criteria and Fee Calculation: Specific metrics and formulas for determining success and calculating fees

3. Schedule 3 - Key Personnel: List of key consultants and their roles in the project

4. Schedule 4 - Project Timeline: Milestones and deadlines for service delivery

5. Schedule 5 - Client Materials: List of information and resources to be provided by the Client

6. Appendix A - Compliance Requirements: Specific regulatory and Shariah compliance requirements

7. Appendix B - Form of Success Confirmation: Template for documenting achievement of success criteria

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

Relevant legal definitions































Clauses







































Relevant Industries

Management Consulting

Financial Services

Real Estate Development

Technology and Digital Transformation

Industrial and Manufacturing

Healthcare

Education and Training

Energy and Utilities

Telecommunications

Construction and Infrastructure

Business Process Optimization

Mergers and Acquisitions

Relevant Teams

Legal

Finance

Procurement

Commercial

Operations

Risk Management

Compliance

Business Development

Strategy

Project Management

Contract Administration

Relevant Roles

Chief Executive Officer

Chief Financial Officer

Legal Counsel

Commercial Director

Procurement Manager

Project Manager

Business Development Director

Strategy Director

Operations Director

Risk Manager

Compliance Officer

Finance Manager

Contract Administrator

Management Consultant

Business Transformation Lead

Commercial 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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