External Consultant Agreement Template for South Africa

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Key Requirements PROMPT example:

External Consultant Agreement

"I need an External Consultant Agreement for a cybersecurity consultant who will be working remotely from the USA for our South African technology company starting March 2025, with strong IP protection and data privacy clauses."

Document background
The External Consultant Agreement is essential for businesses operating in South Africa that engage external expertise on a non-employment basis. This document is designed to comply with South African legislation while protecting both parties' interests in the consulting relationship. It is particularly important given the increasing scrutiny of independent contractor relationships by tax and labor authorities. The agreement covers essential elements such as scope of work, payment terms, intellectual property rights, and confidentiality obligations, while clearly establishing the consultant's status as an independent contractor rather than an employee. It includes specific provisions required under South African law, including POPIA compliance and exchange control regulations for international consultants.
Suggested Sections

1. Parties: Identification of the contracting parties - the company and the consultant

2. Background: Context of the agreement and confirmation of consultant's independent contractor status

3. Definitions: Key terms used throughout the agreement

4. Appointment and Scope of Services: Terms of appointment and detailed description of consulting services to be provided

5. Term and Termination: Duration of the agreement and termination provisions

6. Fees and Payment Terms: Consulting fees, payment schedule, expenses, and invoicing requirements

7. Obligations of the Consultant: Key responsibilities, service standards, and compliance requirements

8. Obligations of the Company: Company's responsibilities including provision of information and resources

9. Intellectual Property Rights: Ownership and protection of IP created during the engagement

10. Confidentiality: Protection of confidential information and trade secrets

11. Data Protection: POPIA compliance and data handling requirements

12. Independent Contractor Status: Express confirmation of independent contractor relationship and tax implications

13. General Provisions: Standard legal provisions including notices, governing law, and dispute resolution

Optional Sections

1. Non-Compete and Restraint of Trade: Restrictions on competitive activities - include when protecting market position is crucial

2. International Services: Additional provisions for foreign consultants including exchange control compliance

3. Equipment and Resources: Include when company provides specific tools or resources to consultant

4. Insurance Requirements: Include when consultant needs specific insurance coverage

5. Performance Metrics: Include when specific KPIs or performance standards apply

6. Training and Skills Transfer: Include when consultant is required to transfer skills to company staff

7. Sub-contracting: Include when consultant may need to sub-contract certain services

8. Force Majeure: Include when specific provisions for unforeseen events are needed

9. Change Control: Include when scope of services may need frequent adjustment

Suggested Schedules

1. Schedule 1 - Scope of Services: Detailed description of consulting services, deliverables, and timelines

2. Schedule 2 - Fee Schedule: Detailed breakdown of fees, rates, and payment terms

3. Schedule 3 - Key Personnel: List of approved consultant personnel who will provide services

4. Schedule 4 - Service Levels: Specific performance standards and metrics

5. Schedule 5 - Company Policies: Relevant company policies consultant must comply with

6. Appendix A - Reporting Requirements: Templates and requirements for progress reports

7. Appendix B - Confidentiality Agreement: Detailed confidentiality terms and requirements

8. Appendix C - Project Timeline: Detailed project milestones and deadlines

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Clauses
Relevant Industries

Technology

Financial Services

Manufacturing

Mining

Healthcare

Education

Professional Services

Retail

Construction

Energy

Telecommunications

Agriculture

Media and Entertainment

Non-Profit

Government Services

Transportation and Logistics

Relevant Teams

Legal

Human Resources

Procurement

Finance

Compliance

Risk Management

Operations

Project Management Office

Commercial

Business Development

Technical Services

Relevant Roles

Chief Executive Officer

Chief Financial Officer

Legal Counsel

Procurement Manager

Human Resources Director

Project Manager

Department Head

Operations Manager

Finance Manager

Compliance Officer

Risk Manager

Business Unit Director

Technical Director

Managing Director

Commercial Manager

Contract 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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