Service Agreement Key Points

If you want to design agreements in the United States, click here. This provision describes who owns the intellectual property (IP) created from the service. As a general rule, the parties retain all the IP addresses they contribute. For example, the service provider keeps the IP address during its process and the customer keeps his IP address, which he uses to complete the service (i.e. the company logo used to make T-shirts). In addition, the customer generally obtains an exclusive revocable license for the use/sale of the IP for the duration of the relationship. It is important to ensure that your company does not transfer an IP address to the service provider by mistake. It is also good practice to limit the monetary liability of the service provider for the breach to direct damages, explicitly excluding indirect, special, accidental or consequential damages from the injury (for example. B service interruptions, loss of earnings, etc.). Customers may try to remove exceptions – for example, damages resulting from breach of confidentiality are probably most or all consecutive damages, and therefore a customer who cares about confidentiality wants to exclude these breaches from non-responsibility. A service contract has several important objectives.

It defines the legal rights and obligations of each party, defines the expectations of each party and deals with the handling of problems. However, in order for the treaty to serve these objectives effectively, it must contain the corresponding conditions (also known as clauses, sections, provisions, etc.). Below is a list of ten important contractual conditions that should be taken into account in each service contract. Note that this list is not in a particular order and is not an exhaustive list of contractual terms to include in a service contract. In addition, some terms may go under other names; What matters is not the name used for the duration of the contract, but its legal effect. It is often necessary to change certain contractual conditions. This clause facilitates the determination of how such changes can be made. The inclusion of an amendment and amendment clause prevents further disputes between the parties as a result of contractual amendments.

In the legal field, the usual practice is to make changes only to the written agreement between the parties, as stated in the amendment clause. That`s an important clause you don`t want to skip.