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Executive Agreement

This Executive Agreement allows a company to employ a person as an executive, which generally means a non-executive director.

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Last updated January 21, 2025

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Under 15 minutes

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Suitable for Australia

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Written by

Edwin Montoya Zorrilla

Reviewed by

Damin Murdock

Document Overview

The Executive Agreement provides more extensive provisions than the Director Agreement, as an Executive is an employee of the company.

Note that completing this Agreement is not sufficient for a person to become a director of a company. See either of the following for more information on this process:

The Legal Risk Score of a Executive Agreement Template

Our legal team have marked this document as medium risk considering:

  • Directors are given a range of indemnities and powers, which can be a burden on the running on the company.
  • The director will be non-independent and that may affect their trust and decision making.
  • The director may have different rights and obligations to other directors, which may cause tension.
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Executive Agreement Checklist

Complete your free Executive Agreement with our checklist

Ensure Proper Authorisation

Verify that the person signing the agreement on behalf of the company has the proper authorization to do so, as indicated in the document.

Secure Director's Signature

Ensure that the director signs the agreement to confirm their understanding and acceptance of the terms outlined.

Document Storage

Store the signed agreement in a secure location where it can be easily accessed for future reference and compliance checks.

Notify Relevant Parties

Inform all relevant parties within the company, such as the board of directors and key management, about the director's appointment and the terms of the agreement to ensure alignment and transparency.

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What does the Executive Agreement cover?

  • Responsibilities
  • Remuneration pacakage
  • Reporting
  • Insurance and litigation
  • Confidentiality
  • Restraints
  • General agreement provisions

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