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Professional Services Agreement
"I need a Professional Services Agreement for my IT consulting company based in Auckland to provide software development and system integration services to a large retail client, with specific provisions for data privacy, source code ownership, and service level agreements to commence from March 2025."
1. Parties: Identifies and provides full legal details of the contracting parties
2. Background: Sets out the context and purpose of the agreement
3. Definitions and Interpretation: Defines key terms and establishes interpretation rules
4. Term and Appointment: Establishes the duration of the agreement and formal appointment of the service provider
5. Services: Outlines the core services to be provided and service standards
6. Service Provider's Obligations: Details the key obligations and responsibilities of the service provider
7. Client's Obligations: Specifies the client's responsibilities and obligations
8. Fees and Payment: Details the fee structure, payment terms, and invoicing requirements
9. Intellectual Property: Addresses ownership and usage rights of existing and created IP
10. Confidentiality: Establishes confidentiality obligations and permitted disclosures
11. Privacy and Data Protection: Covers obligations under the Privacy Act 2020 and data handling requirements
12. Liability and Indemnities: Sets out liability limitations and indemnification obligations
13. Insurance: Specifies required insurance coverage and obligations
14. Termination: Details termination rights and processes
15. Consequences of Termination: Outlines what happens after termination
16. General: Contains standard boilerplate provisions including governing law, notices, and assignment
1. Performance Standards and SLAs: Include when specific service levels need to be measured and maintained
2. Change Control: Include for projects where scope changes need formal management
3. Personnel: Include when specific individuals are key to service delivery or when personnel requirements need to be specified
4. Audit Rights: Include when client requires rights to audit service provider's compliance or performance
5. Business Continuity: Include for critical services requiring disaster recovery planning
6. Security Requirements: Include when services involve sensitive systems or data
7. Anti-Bribery and Corruption: Include for international services or when required by client policy
8. Health and Safety: Include when services are performed at physical locations
9. Transition and Exit: Include for complex services requiring detailed transition planning
10. Force Majeure: Include when specific force majeure provisions beyond common law are needed
1. Schedule 1 - Services Description: Detailed description of services, deliverables, and specifications
2. Schedule 2 - Fees and Payment Terms: Detailed fee structure, rates, and payment mechanisms
3. Schedule 3 - Service Levels: Specific service level requirements and measurement criteria
4. Schedule 4 - Key Personnel: Details of key personnel and their roles
5. Schedule 5 - Insurance Requirements: Specific insurance types and coverage levels required
6. Schedule 6 - Form of Change Request: Template for requesting and documenting changes to services
7. Schedule 7 - Security Requirements: Detailed security protocols and requirements
8. Schedule 8 - Approved Subcontractors: List of pre-approved subcontractors if applicable
9. Appendix A - Service Provider Policies: Relevant service provider policies incorporated by reference
10. Appendix B - Client Policies: Relevant client policies the service provider must comply with
Authors
Information Technology
Management Consulting
Financial Services
Legal Services
Engineering
Architecture
Healthcare
Education
Marketing and Advertising
Business Advisory
Environmental Services
Human Resources
Research and Development
Project Management
Professional Training
Legal
Procurement
Finance
Operations
Human Resources
Risk and Compliance
Commercial
Project Management Office
Business Development
Administration
Chief Executive Officer
Chief Financial Officer
Legal Counsel
Procurement Manager
Contract Manager
Project Manager
Operations Director
Human Resources Manager
Commercial Manager
Business Development Manager
Risk Manager
Compliance Officer
Department Head
Managing Director
General Counsel
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