Sample Contract of Service - English

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CONTRACT FOR SERVICE

A CONTRACT FOR SERVICE made this ……………………………………… BETWEEN


___________________________________, a company having its registered office at
_____________________________________ (hereinafter called the “Company”) of the one part

AND

Name :
Type of entity :  Sole proprietorship  Partnership  Corporation

Company/I.C No :
(Hereinafter called “Contractor” of the other part.

WHEREAS

1. ________________________ is a company involved in the manpower services.

2. The Contractor is an independent contractor with the ability to supply labor to run the
manpower services.

3. The Company has agreed to engage the Contractor to deliver its manpower to various
destinations and the Contractor has consented thereto subject to the terms and conditions
hereinafter contained.

IT IS HEREBY AGREED AS FOLLOWS:-

1. In consideration of the commission which shall be paid according to Appendix A of this


agreement, the Contractor shall supply labor(s) (hereinafter referred to as the Worker) to
execute the whole or any part of the work as prescribed by the Company of a nature as
directed by the Company at its sole discretion (hereinafter referred to as the Works)”.

2. The Company shall pay the commission for work done as per stated in Appendix A of
this agreement. All payments to Contractor hereunder shall be made in Malaysian Ringgit
(MYR).

3. Not in any circumstances that the Company shall be obligated to reimburse the
Contractor for any additional expenses incurred in the performance of services pursuant
to this Agreement unless agreed in writing by the Company in advance.

4. This Agreement shall be an independent contract for services and does not fall within the
purview of the Labour Ordinance, Employees’ Provident Fund Act, Industrial Relations

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Act and any other law or regulations or any subsequent amendments relating to the
employment of workers/employees.

5. The workers hired/employed by the Contractor to carry out the work shall at all times be
the employees of the Contractor and not of the Company and the Contractor shall pay all
wages, fee, gratuity, advances, bonus, insurance, E.P.F., SOCSO, compensation,
allowance, taxes, overtime and all such payments and contributions required by law to be
paid by an employer in respect of such persons and shall make all appropriate
arrangements with the employee in respect of such payments and contributions.

6. The Contractor agrees to indemnify and hold harmless the Company, its affiliates, and its
respective officers, directors, agents and employees from any and all claims, demands,
losses, causes of action, damage, lawsuits, judgments, including attorneys’ fees and costs,
arising out of, or relating to, the Contractor’s services under this Agreement. This
provision shall survive the duration of this Agreement. The Contractor agrees to defend
against any and all claims, demands, causes of action, lawsuits, and/or judgments arising
out of, or relating to, the Contractor’s services under this Agreement, unless expressly
stated otherwise by the Company, in writing. In addition, Contractor agrees and does
herewith indemnify, defend and hold the Company harmless from any claims, losses,
liabilities or expenses it or its affiliates or subsidiaries may suffer, including reasonable
attorney's fees, arising as a result of Contractor's failure to pay all payments and
contributions (as stipulated in the clause No.5 of this agreement) required by the law of
Malaysia and tax liabilities associated with the Commission(s). At all times under this
Agreement the Contractor is acting and performing as an independent contractor and
shall not be considered an employee of the Company.

7. The Contractor hereby covenants that:-

a) The Contractor shall hire/employ the Workers at his own discretion to perform to the
satisfaction of the Company the Works prescribed by the Company in compliance of
such natures as shall be directed/notified by the Company at all materials times
subject to Clause 7(d) hereof.

b) During the term of this agreement, Contractor agrees to perform and provide services
as mutually agreed from time to time. Contractor agrees to promptly comply with
whatever reasonable instructions, suggestions, and recommendations the Company
may give in connection with rendering of the Services outlined above.

c) The Contractor shall be wholly responsible for the hiring charges/salary and period of
hire/employ of the Workers in accordance with the contract between the Contractor
and the Workers at all material times.

d) The Contractor shall comply with all the requirements of the Labour Ordinance,
Employees’ Provident Fund Act, Industrial Relations Act and any other law and
regulations or any subsequent amendment thereof relating to the hire/employment of
the Workers.

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e) i) The Contractor shall ensure that the Workers will execute the Works to a
satisfactory and reasonable standard in accordance with their obligations
hereunder and while so engaged be of good behaviour and comply with all
statutory provisions and requirements by the relevant authorities or the
Company whether affecting the Works or the execution thereof or otherwise.

ii) In so far as may be necessary to ensure good behaviour and compliance with
statutory provisions and requirements of the Company in respect of the quality
of the Works, the Company shall be entitled to give such instructions to any
Workers as may be requisite.

iii) If in the sole opinion of the Company, any Workers misconduct himself or
have caused delays or damages or are incompetent, the Contractor when so
directed by the Company in writing shall within three (3) days remove such
Workers and shall replace without any delay by a competent substitute
approved by the Company. The Contractor shall not be entitled to any claim
under this condition.

f) The Contractor shall be liable for any damages or compensation payable to any
Workers in the employment of the Contractor in respect of any injury or damage not
had been caused by the negligence/default of the Company.

g) The Contractor shall be responsible for any traffic offences like speeding, dirty
vehicle, illegal parking, beating traffic light or any other traffic offences which are
due to contractor’s negligence.

h) The Contractor shall endeavor to take good care on the goods assigned to him and the
Company reserve the right to back charge the Contractor should there be any
repairing works required due to the non-performing of this obligation or negligence
on the part of him.

i) The Contractor is prohibited from carrying goods for persons/companies using


Company’s vehicle other than the Company’s orders except otherwise directed by the
Company from time to time.

j) The Contractor shall not assign the rights and obligations arising from the Contract to
other parties, in whole or in part, without prior written authorization from the
Company.

k) This is not an exclusive agreement for the contractor and the Company reserves the
right to engage others to perform the same type of Services or equivalent to without
any liability to the contractor.

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8. The Company shall not be liable for any damages or compensation payable to the
Contractor or to his workers in respect of any injury or loss sustained by him or by the
workers who are in his employment.

9. This Contract shall be effective from ___________ till _____________ provided that
both the Contractor and the Company shall be entitled to terminate this Contract before
the expiry of the terms hereby created by giving the other party one (1) month’s notice in
writing PROVIDED ALWAYS that the Company is entitled to terminate this Contract by
giving twenty four (24) hours notice in writing to the Contractor on the ground that the
Contractor or any of the workers in his employment is found to have committed theft,
cheating the Company or any other criminal offences disobedient of instruction given
without reasonable excuse which are directly related to the Works prescribed by the
Company.

10. Any of the notice required to be served under this Contract to either party herein shall be
in writing and shall be sufficiently served if the same is forwarded by registered post
addressed to such party at either addresses herein stated and shall be deemed to have
received on the date on which it would have been so delivered in the normal course of
posting.

11. In this Contract where the context so admits:-


a. The expressions of the Contractor include their respective successors in title
heirs personal representative and assigns.
b. Words importing the masculine gender only include the feminine and neuter
genders.
c. Words importing the singular number only includes the plural and vice versa.

This Agreement has been translated into Bahasa Malaysia. This translation is intended to ease
the understanding of the reader only. If there is any inconsistency or contradictions, matters of
interpretation and lack of clarity, between the English version and the Bahasa Malaysia version,
the English version shall prevail.

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IN WITNESS WHEREOF the parties hereto have hereunto set their hands the day and year first
above written.

SIGNED by the said )


xxxxxxxxxxxxxxxxxx )
Name: )
IC No: )

In the Presence of: - )


Name: )
IC No: )

Signed by the said Contractor )


Name: )
IC No: )

In the presence of: - )


Name: )
IC No: )

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APPENDIX A

Percentage for Commissions

TYPE OF LORRY PERCENTAGE (%)

22 wheelers

12 wheelers

10 wheelers

6 wheelers

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