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Development Service Agreement for Australia

Development Service Agreement Template for Australia

A comprehensive legal agreement governed by Australian law that establishes the terms and conditions under which a service provider will deliver specific development services to a client. The agreement covers essential aspects including scope of services, delivery timelines, acceptance criteria, intellectual property rights, data protection obligations, and payment terms. It incorporates Australian-specific legal requirements, particularly those from the Competition and Consumer Act, Privacy Act, and Copyright Act, while providing a framework for project management and risk allocation between the parties.

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What is a Development Service Agreement?

The Development Service Agreement is a crucial contract for organizations engaging external developers or development companies for software, system, or technology development projects in Australia. This agreement is typically used when a client requires professional development services for creating, modifying, or maintaining software applications, systems, or other technology solutions. The document addresses key aspects required under Australian law, including service definitions, intellectual property assignments, privacy compliance, and consumer protections. It provides comprehensive coverage of project management, quality standards, acceptance testing, and risk allocation, while ensuring compliance with relevant Australian legislation such as the Competition and Consumer Act 2010 and Privacy Act 1988. The agreement is particularly important for protecting both parties' interests in development projects where intellectual property creation, data handling, and service quality are critical considerations.

What sections should be included in a Development Service Agreement?

1. Parties: Identifies and provides full details of all parties to the agreement

2. Background: Sets out the context and purpose of the agreement, including the client's needs and developer's capabilities

3. Definitions: Defines key terms used throughout the agreement for clarity and consistency

4. Services: Detailed description of the development services to be provided, including scope and deliverables

5. Project Management: Outlines project governance, reporting structures, and communication protocols

6. Timeline and Milestones: Specifies the project timeline, key milestones, and delivery dates

7. Acceptance Testing: Details the acceptance criteria and testing procedures for deliverables

8. Fees and Payment: Specifies the fee structure, payment terms, and invoicing procedures

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

10. Confidentiality: Defines confidential information and obligations regarding its protection

11. Data Protection and Privacy: Specifies obligations regarding data handling and privacy compliance

12. Warranties and Representations: Sets out warranties regarding services, capabilities, and compliance

13. Liability and Indemnity: Defines liability limitations and indemnification obligations

14. Term and Termination: Specifies contract duration and circumstances for termination

15. General Provisions: Standard boilerplate clauses including governing law, notices, and assignment

What sections are optional to include in a Development Service Agreement?

1. Change Management: Procedures for handling change requests and variations to scope - include when project scope may change

2. Source Code Escrow: Arrangements for source code protection - include for business-critical applications

3. Service Levels: Specific performance metrics and standards - include for ongoing service components

4. Security Requirements: Specific security standards and compliance - include for sensitive data handling

5. Third Party Components: Management of third-party software and licenses - include when using external components

6. Disaster Recovery: Recovery and backup procedures - include for critical systems

7. Personnel Requirements: Specific staff qualifications or clearances - include for sensitive projects

8. Insurance: Specific insurance requirements - include for high-value or high-risk projects

What schedules should be included in a Development Service Agreement?

1. Statement of Work: Detailed technical specifications and requirements for the development services

2. Service Levels and KPIs: Detailed performance metrics and measurement criteria

3. Fee Schedule: Detailed breakdown of fees, rates, and payment milestones

4. Project Timeline: Detailed project plan with milestones and dependencies

5. Testing Procedures: Detailed acceptance testing procedures and criteria

6. Security Standards: Specific security requirements and compliance standards

7. Personnel: Key personnel and their roles/responsibilities

8. Approved Subcontractors: List of approved subcontractors and their roles

Authors

Alex Denne

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

Jurisdiction

Australia

Publisher

Ƶ

Sector

Cost

Free to use
Relevant legal definitions































Clauses































Relevant Industries

Technology

Software Development

Information Technology

Financial Services

Healthcare

E-commerce

Manufacturing

Professional Services

Education

Government

Telecommunications

Relevant Teams

Legal

Information Technology

Procurement

Project Management

Software Development

Commercial

Operations

Risk Management

Compliance

Information Security

Relevant Roles

Chief Technology Officer

IT Director

Project Manager

Legal Counsel

Contract Manager

Procurement Manager

Software Development Manager

Chief Information Officer

Head of Digital

Technical Project Lead

Commercial Manager

Head of Legal

Chief Operating Officer

IT Procurement Specialist

Development Team Lead

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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