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Software Master Services Agreement for the United Kingdom

Software Master Services Agreement Template for England and Wales

A Software Master Services Agreement is a comprehensive legal framework governed by the laws of England and Wales that establishes the terms and conditions for the provision of software services. It covers key aspects including service delivery, intellectual property rights, data protection, confidentiality, liability, and payment terms. The agreement ensures compliance with UK legislation including the UK GDPR, Data Protection Act 2018, and relevant commercial laws while providing flexibility for specific services through individual statements of work.

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Software Master Services Agreement

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What is a Software Master Services Agreement?

The Software Master Services Agreement serves as the primary contractual framework for organizations engaging in long-term software service relationships. This agreement, governed by English and Welsh law, provides the foundation for managing software service delivery, establishing clear responsibilities, and protecting both parties' interests. It includes essential provisions for data protection, intellectual property, service levels, and risk allocation, while allowing flexibility through subsequent statements of work. The document is particularly crucial in today's digital economy where software services form a critical component of business operations.

What sections should be included in a Software Master Services Agreement?

1. Parties: Identification and details of the contracting parties

2. Background: Context and purpose of the agreement

3. Definitions: Key terms used throughout the agreement

4. Services: Description of software services to be provided

5. Payment Terms: Fees, payment schedule, and invoicing details

6. Intellectual Property Rights: Ownership and licensing of IP

7. Data Protection: GDPR compliance and data handling obligations

8. Confidentiality: Protection of confidential information

9. Term and Termination: Duration and termination provisions

10. Liability and Indemnities: Limitation of liability and indemnification

What sections are optional to include in a Software Master Services Agreement?

1. Change Control: Process for managing changes to services - used for complex or long-term arrangements

2. Service Levels: Performance metrics and remedies - used when specific service levels are required

3. Business Continuity: Disaster recovery and business continuity - used for business-critical services

4. Staff and Key Personnel: Requirements for service delivery team - used when specific personnel are crucial

5. Security Requirements: Specific security obligations - used when handling sensitive data or systems

What schedules should be included in a Software Master Services Agreement?

1. Service Description Schedule: Detailed description of services and deliverables

2. Charges Schedule: Detailed pricing structure and rate card

3. Service Levels Schedule: Detailed SLAs and performance metrics

4. Data Processing Agreement: GDPR-compliant data processing terms

5. Change Control Procedure: Detailed process for managing changes

6. Support Services Schedule: Details of maintenance and support services

7. Business Continuity Plan: Disaster recovery procedures

8. Exit Plan: Transition arrangements upon termination

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

England and Wales

Publisher

Ƶ

Document Type

Service Agreement

Cost

Free to use
Relevant legal definitions










































Clauses





































Industries

UK GDPR and Data Protection Act 2018: Primary legislation governing the processing and protection of personal data in the UK, including requirements for data controllers and processors, data subject rights, and cross-border data transfers

Copyright, Designs and Patents Act 1988: Fundamental IP legislation protecting software code, documentation, and related materials as literary works, including provisions for ownership, licensing, and infringement

Unfair Contract Terms Act 1977: Controls the use of exclusion and limitation clauses in contracts, particularly regarding liability limitations and reasonableness requirements

Electronic Commerce (EC Directive) Regulations 2002: Governs electronic contracts and digital services, including requirements for service provider information and electronic contracting

Network and Information Systems Regulations 2018: Sets cybersecurity requirements for digital service providers and critical infrastructure operators

Consumer Rights Act 2015: Key legislation for B2C contracts, ensuring digital content is of satisfactory quality, fit for purpose, and as described

Competition Act 1998: Prohibits anti-competitive agreements and abuse of dominant market position, relevant for licensing and distribution arrangements

Late Payment of Commercial Debts (Interest) Act 1998: Provides statutory right to claim interest on late commercial payments and compensation for debt recovery costs

Export Control Act 2002: Controls export of sensitive technology and software, including encryption technologies and dual-use items

Privacy and Electronic Communications Regulations (PECR): Specific rules for electronic communications, including cookies, electronic marketing, and communication services

Electronic Communications Act 2000: Provides legal recognition of electronic signatures and supports electronic commerce

Trade Marks Act 1994: Protects branding and marks associated with software products and services

Employment Rights Act 1996: Relevant for staff transfers, contractor relationships, and intellectual property rights in employment context

TUPE Regulations 2006: Protects employees' rights when services transfer between providers, including outsourcing arrangements

Financial Services and Markets Act 2000: Regulatory framework for financial services software and technology, including requirements for regulated activities

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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