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Supply Of Services Agreement Template for Saudi Arabia

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Key Requirements PROMPT example:

Supply Of Services Agreement

"I need a Supply of Services Agreement for providing IT infrastructure maintenance services to a Saudi government entity, including provisions for data security, Saudization requirements, and quarterly performance reviews starting from March 2025."

Document background
The Supply Of Services Agreement is essential for businesses operating in Saudi Arabia that engage external service providers or offer services to clients. This document is particularly crucial given the kingdom's unique legal framework, which combines modern commercial law with Shariah principles. It should be used whenever a formal arrangement for service provision is required, whether for one-time projects or ongoing services. The agreement covers critical elements including detailed service descriptions, performance metrics, payment structures compliant with Saudi tax regulations, risk allocation, and dispute resolution mechanisms aligned with the Saudi judicial system. It's especially relevant given Saudi Arabia's Vision 2030 initiatives, which have increased focus on service sector development and regulatory compliance.
Suggested Sections

1. Parties: Identification of the service provider and recipient, 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: Key terms used throughout the agreement, including Arabic translations where necessary

4. Scope of Services: Detailed description of services to be provided, including service levels and performance standards

5. Term and Commencement: Duration of the agreement and conditions for effectiveness

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

7. Service Provider Obligations: Key responsibilities and warranties of the service provider

8. Client Obligations: Responsibilities and commitments of the client

9. Compliance with Laws: Obligation to comply with Saudi laws, including Shariah principles

10. Confidentiality: Protection of confidential information and trade secrets

11. Intellectual Property: Ownership and usage rights of IP created during service provision

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

13. Force Majeure: Events excusing performance, including reference to Saudi force majeure principles

14. Termination: Grounds for termination and consequences

15. Dispute Resolution: Process for resolving disputes under Saudi law

16. Governing Law: Confirmation of Saudi law and Shariah principles as governing law

17. Notices: Communication procedures between parties

18. General Provisions: Standard boilerplate clauses adapted for Saudi law

Optional Sections

1. Insurance: Required when services involve significant risks or regulatory requirements for insurance

2. Data Protection: Required when services involve processing personal data

3. Change Control: Recommended for complex services where scope changes are likely

4. Anti-Corruption: Required for high-value contracts or government-related services

5. Business Continuity: Required for critical services or long-term arrangements

6. Key Personnel: Recommended when specific individuals are crucial to service delivery

7. Security Requirements: Required when services involve access to sensitive systems or facilities

8. Islamic Finance Compliance: Required when payment structure needs to comply with Islamic finance principles

9. Saudization Requirements: Required when services involve employment or training obligations

Suggested Schedules

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

2. Service Levels Schedule: Performance metrics, KPIs, and measurement methodology

3. Pricing Schedule: Detailed breakdown of fees, charges, and payment terms

4. Key Personnel Schedule: List of key staff members and their roles

5. Required Insurances Schedule: Types and levels of insurance coverage required

6. Security Requirements Schedule: Detailed security protocols and requirements

7. Form of Change Order: Template for documenting changes to services

8. Approved Subcontractors: List of pre-approved subcontractors if applicable

9. Business Continuity Plan: Detailed procedures for service continuity

10. Compliance Requirements: Specific regulatory and Shariah compliance requirements

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

Information Technology

Professional Services

Construction

Healthcare

Education

Telecommunications

Facilities Management

Engineering

Management Consulting

Financial Services

Oil & Gas

Manufacturing

Logistics

Real Estate

Hospitality

Relevant Teams

Legal

Procurement

Commercial

Operations

Finance

Risk & Compliance

Business Development

Service Delivery

Technical Services

Project Management

Account Management

Relevant Roles

Legal Counsel

Procurement Manager

Contract Manager

Commercial Director

Operations Manager

Project Manager

Chief Financial Officer

Risk Manager

Compliance Officer

Business Development Manager

Service Delivery Manager

Account Manager

Chief Operating Officer

General Manager

Technical Director

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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