Agreement for search, recruitment and placement services
This Recruiting Terms of Business (the “Agreement”) is entered into by and between Sourcechange Limited, with a registered address at 447 Broadway, New York, NY 10013 (the “Agency”) and Client Company name and Registered Address (the “Client”).
FEES AND EXPENSES: The Client agrees to pay a placement fee to the Agency the amount of 30% (“Fee Rate”) of the candidate’s estimated total first year’s compensation, including estimated commissions and bonuses, and any signing bonus. Such fee is not subject to reduction even if the candidate’s employment terminates. The Client will be obligated to pay such fee whenever
A candidate referred to the Client by the Agency is hired, directly or indirectly, for any position, as an employee, consultant, or independent contractor, by the Client, its affiliates, parents, or subsidiaries, or;
A candidate referred to the Client by the Agency is referred by the Client to another employer or recruiting firm and the candidate is hired, directly or indirectly, for any position, as an employee, consultant, or independent contractor, by such employer or through such recruiting firm.
For the purpose of paragraphs 1 and 2 above, the word “referred” means any manner or means of communication of a candidate’s identity.
The Agency fee is earned if the firm is a cause of a candidate accepting a position with the Client, or any related company, in any capacity, as employee, consultant, or independent contractor.
In the event the first year’s compensation of a candidate placed by the Agency exceeds the estimated compensation upon which the initial fee was based, the Agency shall be entitled to an additional fee derived from the Fee Rate and such additional compensation. This additional fee shall be paid no later than 15 months following the candidate’s first day of employment.
In addition to any fees, the Client agrees to pay all reasonable preapproved expenses incurred by the Agency related to the performance of its services under this agreement.
PAYMENT TERMS: The Client agrees to pay all placement fees and related expenses within 14 days of the candidate signing the offer letter. Interest of 1% per month will be charged on unpaid fees more than 14 days past due. The Client agrees to reimburse the Agency for all reasonable costs of collection, including attorney fees.
REPLACEMENT GUARANTEE: In the event the employment of a candidate referred to the Client under this agreement lasts less than 90 calendar days, and provided that all fees and expenses relating to such referral have been paid, the Agency will attempt to refer a replacement candidate for the same position at no additional charge to the Client. The Agency’s obligation under this agreement is limited to attempting to find a replacement candidate. No refund will be made if the Client hires a replacement from any source, or if the Client is no longer actively seeking to fill the position. This provision shall not apply if the candidate is laid off for lack of work, or resigns because the Client has significantly modified the candidate’s job duties or assigned him or her to another position.
CONFIDENTIALITY OF REFERRALS: All candidate referrals made by the Agency are made on a confidential basis and the Client shall hold Agency harmless from any liability resulting from the Client’s unauthorized disclosure or misuse of information regarding any candidates or their candidacy.
DISCLAIMER: The Agency does not guarantee the performance of any candidate or the accuracy of information provided regarding a candidate, and disclaims any responsibility for claim, loss, or liability as a result of a candidate’s acts or omissions. The Agency urges the Client to conduct such investigations, as it deems necessary to verify candidate information or to obtain such other information, as it may deem relevant.