Draft for legal review
Purpose
This agreement governs circumstances in which an Expertise Partner, initially introduced through ExEx for a short-term, interim, consultancy or fractional engagement, subsequently enters into permanent employment or an equivalent direct engagement with the Client Member.
ExEx welcomes such developments as a positive outcome of its introduction and engagement services, subject to reasonable commercial arrangements.
Notification
The Client Member shall notify ExEx of any intention to offer permanent employment or an equivalent direct engagement to an Expertise Partner introduced through the platform.
Conversion Fee
Where legally permissible, ExEx shall be entitled to a conversion fee equivalent to 10% of the Expertise Partner's agreed gross annual basic salary, excluding bonuses, benefits and VAT.
The fee recognises ExEx's role in introducing, verifying and facilitating the original engagement.
The fee shall be payable by the Client Member and shall not be charged to the Expertise Partner.
Extended Engagement Alternative
Where required by applicable employment agency legislation, the Client Member shall be offered the alternative of continuing the engagement through ExEx for a specified extended period, following which permanent employment may commence without a conversion fee.
The duration and terms of this alternative shall comply with applicable legislation.
Relevant Period
Conversion fees shall apply only within the period permitted by applicable legislation or, where legally permissible, the period expressly agreed in the Client Member's terms of business.
Prior Relationships
No conversion fee shall apply where the Client Member can demonstrate that an established employment or recruitment relationship with the Expertise Partner existed independently before the ExEx introduction.
Employment Responsibilities
Upon commencement of permanent employment, the Client Member shall assume all applicable employer responsibilities, including employment contracts, payroll, taxation, pensions and statutory employment obligations.
Non-Circumvention
Neither party shall deliberately restructure an engagement to avoid properly payable ExEx fees.
Nothing in this agreement shall prevent an Expertise Partner from accepting employment or exercising their statutory rights.
Fees and Payment
Any applicable conversion fee shall be invoiced by ExEx upon commencement of permanent employment and payable within 14 days, unless otherwise agreed.
Law and Compliance
This agreement shall be governed by the laws of England and Wales and shall operate subject to the Conduct of Employment Agencies and Employment Businesses Regulations 2003 and other applicable legislation.
This draft remains subject to legal review, particularly regarding the enforceability of conversion fees, statutory transfer periods and extended engagement alternatives.