The Software Development Contract Agreement is essential for businesses engaging in custom software development projects in Malaysia. This document is designed to establish a clear legal framework for software development services, protecting both the developer's and client's interests while ensuring compliance with Malaysian legislation. It should be used whenever a company or individual is commissioning bespoke software development, whether for internal use, commercial distribution, or client delivery. The agreement covers crucial aspects including project scope, development methodology, intellectual property rights, payment structures, acceptance testing, warranties, and liability limitations. It incorporates requirements from relevant Malaysian laws including the Contracts Act 1950, Digital Signature Act 1997, and Personal Data Protection Act 2010, making it suitable for both local and international parties operating within Malaysian jurisdiction.
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1. Parties: Identifies and provides full details of the contracting parties (developer and client)
2. Background: Explains the context and purpose of the agreement, including the client's need for software development services
3. Definitions: Defines key terms used throughout the agreement
4. Scope of Services: Details the software development services to be provided, including deliverables and objectives
5. Project Timeline and Milestones: Specifies development phases, deadlines, and key delivery dates
6. Payment Terms: Details the fees, payment schedule, and payment conditions
7. Intellectual Property Rights: Addresses ownership and licensing of the developed software and related materials
8. Confidentiality: Protects confidential information shared during the development process
9. Acceptance Testing: Defines the acceptance criteria and testing procedures for deliverables
10. Warranties and Representations: Specifies warranties regarding the software and services provided
11. Limitation of Liability: Sets out liability limitations and exclusions
12. Term and Termination: Specifies contract duration and termination conditions
13. Force Majeure: Addresses circumstances beyond parties' control affecting performance
14. Dispute Resolution: Outlines procedures for resolving disputes
15. General Provisions: Includes standard boilerplate clauses like notices, amendments, and governing law
1. Maintenance and Support: Include when post-development maintenance services are part of the agreement
2. Third-Party Software and Licenses: Include when the development involves third-party software integration
3. Data Protection and Privacy: Include when personal data processing is involved in the software
4. Source Code Escrow: Include when source code needs to be held in escrow for client protection
5. Service Level Agreement: Include when specific performance levels need to be maintained
6. Security Requirements: Include when specific security standards or compliance is required
7. Training and Documentation: Include when training and documentation services are part of the scope
8. Non-Solicitation: Include to prevent hiring of each other's employees
9. Change Management: Include when a formal process for scope changes is needed
10. Compliance with Specific Regulations: Include when software must comply with specific industry regulations
1. Technical Specifications: Detailed technical requirements and specifications for the software
2. Project Plan: Detailed timeline, milestones, and resource allocation plan
3. Acceptance Criteria: Specific criteria for accepting deliverables and testing procedures
4. Fee Schedule: Detailed breakdown of fees, costs, and payment milestones
5. Service Level Requirements: Detailed performance metrics and service levels if applicable
6. Personnel Schedule: Key personnel assigned to the project and their roles
7. Third-Party Software List: List of third-party software and associated licenses to be used
8. Change Request Template: Standard format for requesting and documenting changes
9. Security Requirements Schedule: Detailed security specifications and compliance requirements
10. Documentation Requirements: Specifications for required technical and user documentation
Relevant legal definitions
Clauses
Relevant Industries
Information Technology
Financial Services
Healthcare
E-commerce
Manufacturing
Education
Telecommunications
Retail
Professional Services
Government & Public Sector
Transportation & Logistics
Media & Entertainment
Real Estate
Energy & Utilities
Construction
Relevant Teams
Legal
Information Technology
Procurement
Software Development
Project Management
Operations
Risk & Compliance
Finance
Business Development
Engineering
Solutions Architecture
Vendor Management
Digital Transformation
Quality Assurance
Information Security
Relevant Roles
Chief Technology Officer
IT Director
Project Manager
Software Development Manager
Legal Counsel
Procurement Manager
Chief Information Officer
Contract Manager
Business Development Manager
Technical Lead
Solutions Architect
Head of Engineering
Digital Transformation Manager
IT Procurement Specialist
Vendor Management Officer
Chief Digital Officer
Technology Consultant
Operations Manager
Risk Management Officer
Compliance Officer
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