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Proof Of Concept Agreement

Proof Of Concept Agreement Template for Malaysia

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Key Requirements PROMPT example:

Proof Of Concept Agreement

"I need a Proof of Concept Agreement for testing our AI-powered financial analysis software with a major Malaysian bank, starting March 2025, with strong data protection clauses and clear success metrics for system accuracy and performance."

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Document background
The Proof of Concept Agreement serves as a critical legal framework for organizations in Malaysia looking to test and validate new technologies, solutions, or business concepts before full-scale implementation. This document type is essential when companies need to evaluate the feasibility, functionality, or potential of a proposed solution in a controlled environment while managing risks and protecting intellectual property. Used primarily in technology implementations, innovation projects, and digital transformations, it defines the parameters for testing, success metrics, resource commitments, and potential pathways to full implementation. The agreement must comply with Malaysian legislation including the Contracts Act 1950, Personal Data Protection Act 2010, and relevant intellectual property laws, while addressing specific industry regulations where applicable. It's particularly valuable in scenarios where significant investment decisions depend on successful proof of concept outcomes.
Suggested Sections

1. Parties: Identifies and provides details of the parties entering into the POC agreement

2. Background: Explains the context and purpose of the POC, including what is being tested/validated

3. Definitions: Defines key terms used throughout the agreement

4. Scope of POC: Detailed description of what will be tested/demonstrated and the boundaries of the POC

5. Duration and Timeline: Specifies the start date, end date, and key milestones of the POC

6. Success Criteria: Clearly defined metrics and standards that will determine if the POC is successful

7. Responsibilities of Parties: Outlines specific obligations and responsibilities of each party during the POC

8. Resources and Costs: Details of resources to be provided by each party and cost allocation

9. Intellectual Property Rights: Addresses ownership and usage rights of pre-existing and newly created IP

10. Confidentiality: Provisions for protecting confidential information shared during the POC

11. Data Protection: Obligations regarding handling of personal and sensitive data

12. Termination: Conditions and process for early termination of the POC

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

14. General Provisions: Standard boilerplate clauses including governing law, notices, and entire agreement

Optional Sections

1. Post-POC Rights: Include when parties need to define rights and obligations after POC completion, such as first right of refusal for commercial implementation

2. Third Party Integration: Include when the POC requires integration with third-party systems or services

3. Regulatory Compliance: Include when the POC involves regulated industries or activities requiring specific compliance measures

4. Security Requirements: Include when the POC involves sensitive systems or data requiring specific security measures

5. Insurance: Include when specific insurance coverage is required due to risk levels

6. Exit Strategy: Include when complex unwinding procedures need to be defined

7. Change Control: Include when the POC scope or parameters may need formal modification procedures

8. Service Levels: Include when specific performance levels need to be maintained during the POC

Suggested Schedules

1. Technical Specifications: Detailed technical requirements and specifications for the POC

2. Success Criteria Matrix: Detailed breakdown of success metrics and measurement methodology

3. Project Plan: Detailed timeline, milestones, and deliverables

4. Resource Schedule: Detailed list of resources, equipment, and personnel to be provided by each party

5. Test Scenarios: Specific test cases and scenarios to be executed during the POC

6. Security Protocol: Detailed security requirements and procedures

7. Cost Breakdown: Detailed breakdown of costs and payment schedule if applicable

8. Contact Matrix: Key personnel and escalation contacts from each party

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈË°æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co
Relevant legal definitions


































Clauses






























Relevant Industries

Information Technology

Financial Services

Healthcare

Manufacturing

Telecommunications

E-commerce

Artificial Intelligence

Digital Services

Biotechnology

Smart Cities

Renewable Energy

Education Technology

Industrial Automation

Cloud Computing

Internet of Things

Relevant Teams

Legal

Information Technology

Innovation

Research and Development

Project Management

Procurement

Business Development

Technical Operations

Product Development

Digital Transformation

Enterprise Architecture

Vendor Management

Solution Design

Commercial

Relevant Roles

Chief Technology Officer

Innovation Manager

Project Manager

Legal Counsel

Technical Director

Solutions Architect

Product Manager

Procurement Manager

Research and Development Director

Digital Transformation Lead

Technology Consultant

Contract Manager

Business Development Manager

Chief Information Officer

Innovation Officer

Technical Program 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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