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Supplier Service Agreement Template for Saudi Arabia

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Key Requirements PROMPT example:

Supplier Service Agreement

"I need a Supplier Service Agreement for an IT services provider based in Riyadh who will be providing cloud hosting and cybersecurity services to our financial institution, with specific provisions for data protection and Sharia compliance."

Document background
The Supplier Service Agreement serves as the primary contractual framework for service provision relationships in Saudi Arabia, establishing clear rights and obligations between service providers and their customers. This document is essential when engaging external vendors or service providers for ongoing business operations, whether for technical, professional, or operational services. The agreement must comply with Saudi Arabian law, including Sharia principles and local commercial regulations, while addressing key aspects such as service delivery, performance metrics, payment terms, and risk allocation. It's particularly relevant in the context of Saudi Arabia's Vision 2030 economic transformation, which has led to increased focus on service sector development and local content requirements. The document typically includes detailed specifications about service scope, quality standards, pricing structures, and compliance obligations, making it a crucial tool for managing supplier relationships and ensuring clear accountability in service delivery.
Suggested Sections

1. Parties: Identification of the parties entering into the agreement, including full legal names, commercial registration numbers, and authorized representatives

2. Background: Context of the agreement and brief description of the parties' business relationship

3. Definitions: Detailed definitions of terms used throughout the agreement

4. Scope of Services: Detailed description of services to be provided by the supplier

5. Term and Renewal: Duration of the agreement and conditions for renewal

6. Fees and Payment Terms: Pricing structure, payment schedule, invoicing requirements, and VAT considerations

7. Service Levels: Performance standards, KPIs, and measurement criteria

8. Supplier Obligations: Key responsibilities and commitments of the supplier

9. Customer Obligations: Key responsibilities and commitments of the customer

10. Intellectual Property Rights: Ownership and usage rights of IP created or used during service provision

11. Confidentiality: Protection of confidential information and trade secrets

12. Data Protection: Handling and protection of personal and business data

13. Liability and Indemnification: Limitation of liability and indemnification obligations

14. Force Majeure: Events excusing performance and related procedures

15. Termination: Grounds for termination and related procedures

16. Governing Law and Jurisdiction: Confirmation of Saudi law application and dispute resolution mechanism

17. General Provisions: Standard boilerplate clauses including notices, amendments, and assignment

Optional Sections

1. Islamic Finance Compliance: Required when financial arrangements need explicit Sharia compliance confirmation

2. Local Content Requirements: Include when services fall under Saudi Arabia's local content requirements

3. Personnel and Secondment: Required when supplier staff will work on customer premises

4. Equipment and Materials: Include when physical equipment or materials are part of the service provision

5. Insurance: Include when specific insurance requirements are necessary for the services

6. Export Control: Required when services involve cross-border technology or data transfer

7. Environmental Compliance: Include for services with environmental impact or requirements

8. Business Continuity: Include for critical services requiring disaster recovery planning

9. Security Requirements: Required for services involving sensitive information or facilities access

10. Transition and Exit: Include for complex services requiring detailed exit planning

Suggested Schedules

1. Schedule 1 - Service Description: Detailed technical and operational specifications of services

2. Schedule 2 - Service Levels and KPIs: Detailed performance metrics and measurement methodology

3. Schedule 3 - Pricing and Payment Schedule: Detailed fee structure, rates, and payment terms

4. Schedule 4 - Key Personnel: List of key supplier personnel and their roles

5. Schedule 5 - Implementation Plan: Timeline and milestones for service implementation

6. Schedule 6 - Technical Requirements: Specific technical standards and requirements

7. Schedule 7 - Form of Reports: Templates and requirements for service reporting

8. Appendix A - Contact Details: Key contact information for both parties

9. Appendix B - Required Insurances: Details of insurance types and coverage levels

10. Appendix C - Compliance Requirements: Specific regulatory and compliance obligations

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

















































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Relevant Industries

Oil & Gas

Technology & IT

Manufacturing

Healthcare

Construction

Financial Services

Telecommunications

Retail

Energy

Transportation & Logistics

Education

Professional Services

Government & Public Sector

Mining & Minerals

Real Estate

Defense & Security

Relevant Teams

Legal

Procurement

Finance

Operations

Compliance

Risk Management

Commercial

Supply Chain

Vendor Management

Project Management

Business Development

Internal Audit

Relevant Roles

Procurement Manager

Legal Counsel

Contract Manager

Supply Chain Director

Chief Financial Officer

Operations Manager

Compliance Officer

Risk Manager

Commercial Director

Project Manager

Vendor Manager

Business Development Manager

General Counsel

Finance Director

Chief Operating Officer

Sourcing 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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