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Service Agreement - Long Form


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Introduction
Description
Use
Table of Contents

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Introduction

When a business must perform work for which its own human resources are inadequate, it generally turns to the market to find the appropriate resources. As such, the business will have to enter into a service agreement with a third party that has the expertise and personnel required to ensure the proper performance of the desired work.

This document establishes the contractual framework of such a legal/commercial operation.

Description

The service agreement is the instrument by which a person, the provider, offers its services for tasks that the other party, the client, requires. This agreement sets out the tasks that the provider must perform in exchange for the consideration paid by the client. This is not an employment agreement: the provider is an independent contractor of the client.

Use

We recommend the use of this document when the client wishes to use the services of the provider without establishing a relationship of permanent or temporary employment. However, it is important to clarify that such an agreement may be considered by the courts as a contract of employment if the relationship between the parties involves a significant subordination of the provider to the client. It is a question of fact left to the discretion of the courts. If the service provider works exclusively for the client, if the latter controls how the service provider should carry out its duties, or if the client provides the necessary tools to accomplish the work to the service provider, it might be more appropriate to use an employment agreement (see Chapter C of the Business Precedents) to establish the terms of the relationship between the parties.

Table of Contents

0.00 INTERPRETATION
0.01 Definitions
0.01.01 Activities
0.01.02 Agreement
0.01.03 Best Effort
0.01.04 Breach
0.01.05 Change in Control
0.01.06 Confidential Information
0.01.07 Encumber or Encumbrance
0.01.08 Event of Default
0.01.09 Force Majeure
0.01.10 Fundamental Provisions
0.01.11 Intellectual Property
0.01.12 Law
0.01.13 Legal Representatives
0.01.14 PARTY
0.01.15 Person
0.01.16 Prime Rate
0.01.17 Related Person
0.01.18 Schedule
0.01.19 Subsidiary
0.01.20 Tasks
0.01.21 Work
0.02 Precedence
0.03 Jurisdiction
0.03.01 Governing Law
0.03.02 Non-compliance
0.04 Miscellaneous
0.04.01 Cumulative Rights
0.04.02 Time and Dates
0.04.03 Financial References
0.04.04 References within Agreement
0.04.05 Gender and Number
0.04.06 Headings
0.04.07 Presumptions
0.04.08 Knowledge
0.04.09 Approval
0.04.10 GAAP
1.00 PURPOSE
1.01 Retainer
1.02 Conditions
1.02.01 Required by CLIENT
1.02.02 Requised by PROVIDER
1.02.03 Choice
2.00 CONSIDERATION
2.01 Fees
2.02 Expenses
3.00 TERMS OF PAYMENT
3.01 Fees and Expenses
3.02 Interest
3.03 Loss of Term
4.00 SECURITY
4.01 In favour of CLIENT
4.02 In favour of PROVIDER
5.00 MUTUAL REPRESENTATIONS AND WARRANTIES
5.01 Status
5.02 Authority
5.03 Binding Agreement
5.04 Canadian Resident
5.05 Commission
5.06 Insurance
5.07 Nominee
5.08 Fundamental Provisions
5.09 Disclosure
6.00 REPRESENTATIONS AND WARRANTIES OF THE CLIENT
6.01 Status
6.02 Authority
6.03 Binding Agreement
6.04 Insurance
6.05 Nominee
6.06 Fundamental Provisions
6.07 Disclosure
7.00 REPRESENTATIONS AND WARRANTIES OF THE PROVIDER
7.01 Status
7.02 Authority
7.03 Binding Agreement
7.04 Insurance
7.05 Nominee
7.06 Fundamental Provisions
7.07 Disclosure
8.00 MUTUAL DUTIES AND OBLIGATIONS
8.01 Confidential Information
8.01.01 Undertaking
8.01.02 End of Agreement
8.02 Insurance
8.02.01 Insured Risks
8.02.02 Amount of Coverage
8.02.03 Issuer
8.02.04 Co-insured
8.02.05 No Limitation
8.03 Indemnification
8.03.01 “Loss”
8.03.02 Scope
8.03.03 Procedure
8.03.04 Deductible
8.03.05 Limitation on Claims
8.04 Disclosure of Agreement
9.00 DUTIES AND OBLIGATIONS OF THE CLIENT
9.01 Cooperation
9.02 Modification
10.00 DUTIES AND OBLIGATIONS OF THE PROVIDER
10.01 Insurance
10.01.01 Insured Risks
10.01.02 Amount of Coverage
10.01.03 Issuer
10.01.04 Co-insured
10.01.05 No Limitation
10.02 Schedule
10.03 Best Effort
10.04 Rendering Account
10.05 Conduct
10.06 Intellectual Property
10.06.01 Transfer
10.06.02 Exception
10.07 Liability
10.08 Non-competition
10.08.01 Scope
10.08.02 Adjustments
10.08.03 Penalty
10.08.04 Additional Remedy
10.09 Non-solicitation of Clientele
11.00 SPECIAL PROVISIONS
11.01 Assignment
11.01.01 Prohibition
11.01.02 Effect of Breach
11.01.03 Exception
11.02 Force Majeure
11.02.01 No Default
11.02.02 Duty
11.02.03 Rights of Other PARTY
11.03 Relationship
11.03.01 Independent Contractors
11.03.02 No Control over Performance
11.03.03 No Authority to Bind
11.04 Further Assurances
11.05 Other Remedies
11.05.01 Choices
11.05.02 No Limitations
11.06 Prescription
11.07 Intellectual Property
12.00 GENERAL PROVISIONS
12.01 Notice
12.02 Dispute Resolution
12.02.01 Good Faith Negotiations
12.02.02 Mediation
12.02.03 Arbitration
12.03 Election
12.04 Counterparts
12.05 Amendment
12.06 Waiver of Rights
12.07 Electronic Transmission
12.08 Language
13.00 TERMINATION
13.01 Mutual Consent
13.02 Unilateral Termination
13.03 Without Notice
13.04 Prior Notice
13.05 Change of Control
14.00 EFFECTIVE DATE
14.01 Retroactivity
14.02 Execution
14.03 Deferral
15.00 DURATION
15.01 Probationary or Trial Period
15.02 Initial Term
15.03 Renewal
15.03.01 First Renewal
15.03.02 Subsequent Renewals
15.04 Survival
15.05 Non Renewal
16.00 SCOPE


SCHEDULE A - EXCERPT OF A RESOLUTION OF THE CLIENT
SCHEDULE B - EXCERPT OF A RESOLUTION OF THE PROVIDER
SCHEDULE 0.01.17 – SCHEDULE
SCHEDULE 0.01.20 OR 0.01.21 – TASKS/WORK
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