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Alex Denne
Growth @ Ƶ | Introduction to Contracts @ UCL Faculty of Laws | Serial Founder

Drafting a B2B SaaS Agreement

9 Jun 2023
29 min
Text Link

Note: Links to our free templates are at the bottom of this long guide.
Also note: This is not legal advice

Introduction

When it comes to running a successful business, having a well-crafted B2B SaaS Agreement is of paramount importance. A B2B SaaS Agreement is a contract between two parties, typically the Software-as-a-Service (SaaS) provider and the customer, which sets out the scope of services being provided, payment terms, intellectual property rights and any applicable warranties or limitations. It also provides for dispute resolution should anything go wrong.

Having a properly drafted agreement in place can protect both parties from any misunderstandings or disagreements that may arise. It also creates an enforceable legal framework for ensuring that all obligations are met on time and that payments are made in full as per the terms of the agreement. Consequently, businesses must ensure that their B2B SaaS Agreement is carefully put together to meet their specific needs.

The Ƶ team, alongside its open source legal template library of millions of datapoints - designed to teach AI what a market-standard saas agreement looks like - has created step-by-step guidance to assist business owners, entrepreneurs and contract lawyers with drafting their own agreements without having to use costly professional services.

The guide begins by helping you identify your specific needs so you can tailor your agreement accordingly; then considers key elements such as scope of services provided, payment terms and timeline for delivery; finally outlines how best to handle disputes should they arise and create an airtight document where both parties understand their obligations under the law.

Using this guide does not require you to have an account with us – we just want to help make sure you have a legally sound document while avoiding expensive attorney fees when possible – plus our template library provides further access to actual examples which could be used as guides at no charge! If you’re looking for more information on drafting your own B2B SAA agreement then read on below for our comprehensive guide – or head straight over now to access our free template library today!

Definitions

Overview of the Agreement: This is a summary of the document that outlines the purpose of the agreement and the key points that will be discussed.

Scope of Services: This refers to the type of services that will be provided and any specific requirements or deliverables that must be met.

Deliverables: This is a specific product or task that must be completed as part of the agreement.

Timelines: This is the period of time in which services must be completed and deliverables must be produced.

Intellectual Property Rights: These are rights that are associated with creative works, such as inventions, literary and artistic works, and symbols, names, images, and designs used in commerce.

Ownership of IP: This is the ownership of any intellectual property rights associated with the services or deliverables.

Licensing of IP: This is the granting of the right to use intellectual property rights according to certain terms and conditions.

Limitations of Liability: This is a limitation of the amount of damages that either party can be liable for.

Insurance Requirements: This is the requirement to have certain insurance policies in place in order to protect the parties involved in the agreement.

Payment for Services: This is the payment that must be made for the services outlined in the agreement.

Payment Terms: This is the conditions of payment, such as the payment due date, the method of payment, and any late payment fees.

Subscription Periods: This is the length of time for which services are provided and any renewal terms that may apply.

Termination Rights: This is the circumstances in which either party may terminate the agreement.

Disposal of Data: This is the process of destroying or transferring data or other information that is held by either party upon termination of the agreement.

Indemnification Conditions: This is the circumstances under which the parties may be required to indemnify each other.

Exclusions: This is any liability that cannot be indemnified.

Negotiation of Disputes: This is the process of attempting to resolve disputes between the parties.

Mediation: This is the use of a neutral third party to aid in the resolution of disputes between the parties.

Arbitration: This is the use of an impartial third party to make a binding decision in the resolution of disputes between the parties.

Definition of Confidential Information: This is the definition of information that must be kept private, such as trade secrets or proprietary information.

Obligations of Confidentiality: This is the requirement to protect and not disclose confidential information to third parties without the other party’s consent.

Exclusions: This is information that is already publicly available or required to be disclosed by law.

Representations: This is a statement made by either party, such as the ownership of intellectual property rights or the accuracy of any information provided.

Warranties: This is a guarantee of the quality or performance of the services or deliverables.

Force Majeure: This is an event outside of the parties control, such as a natural disaster or an act of war.

Exclusions: This is any inability to pay or repay any debts.

Notices: This is the communication between the parties.

Governing Law: This is the set of laws that the agreement is interpreted by.

Severability: This is the clause that states that any invalid or unenforceable provisions of the agreement will not affect the enforceability of the other provisions.

Entire Agreement: This is the clause that states that the agreement constitutes the entire agreement between the parties and supersedes any prior agreements or understandings.

Contents

  1. Overview of the agreement
  2. Scope of services
  3. Description of services
  4. Deliverables
  5. Timelines
  6. Intellectual property rights
  7. Ownership of IP
  8. Licensing of IP
  9. Limitations and liabilities
  10. Limitations of liability
  11. Insurance requirements
  12. Subscription and payment terms
  13. Payment for services
  14. Payment terms
  15. Late payment terms
  16. Subscription periods
  17. Termination provisions
  18. Termination rights
  19. Disposal of data
  20. Indemnification
  21. Indemnification conditions
  22. Exclusions
  23. Dispute resolution
  24. Negotiation of disputes
  25. Mediation
  26. Arbitration
  27. Confidentiality
  28. Definition of confidential information
  29. Obligations of confidentiality
  30. Exclusions
  31. Representations and warranties
  32. Representations
  33. Warranties
  34. Force majeure
  35. Definition
  36. Exclusions
  37. Miscellaneous provisions
  38. Notices
  39. Governing law
  40. Severability
  41. Entire agreement

Get started

Overview of the agreement

  • Understand the purpose of the agreement – what it covers and what it doesn’t
  • Identify who the parties are and the effective date of the agreement
  • Review any terms and conditions that apply to the agreement
  • Make sure the agreement is legally binding
  • When you have a clear understanding of the agreement and all the parties involved, you can check this step off your list and move on to the next step.

Scope of services

  • Identify the services that the SaaS provider will be providing
  • Specify who will be responsible for the maintenance of the services
  • Outline any additional services that the SaaS provider may offer
  • Determine the timeline for when the services need to be completed
  • Specify the payment terms for the services

You will know that you have completed this step when you have detailed the scope of services that the SaaS provider will be providing, who is responsible for the maintenance, the timeline, and the payment terms.

Description of services

  • Draft a section of the agreement that describes the services being provided in detail
  • Include the scope of services as well as any other information that would be necessary for the parties to understand the services being provided
  • Outline the roles, responsibilities and expectations of each party
  • Specify any costs that are associated with the services being provided
  • When done, review the section and make sure that it is clear and comprehensive
  • Check off this step when you have finished drafting the section.

Deliverables

  • Identify the deliverables that the company will provide to the customer
  • Make sure to list the exact features and functions the customer should expect
  • Double-check that you have included all the deliverables that are part of the agreement
  • Outline any additional items, such as reports and documentation, that the company may be required to provide
  • Make sure the customer understands what will be delivered and when
  • When you have all the deliverables listed, you can move on to the next step of drafting the agreement.

Timelines

  • Establish the timeline for agreement and negotiations: Set a date when both parties agree to have the agreement ready, as well as a date to begin negotiations.
  • Discuss timeline for performance: Agree on a timeline for the performance of each party’s obligations.
  • Set up a timeline for payments: Determine when and how payments will be made.
  • Establish timeline for review and approval: Decide when and how changes to the agreement will be reviewed and approved.

You can check this step off your list when both parties agree to a timeline for the agreement and performance, payment, and reviews and approvals.

Intellectual property rights

  • Understand the parties’ respective intellectual property rights - who owns what before and after the agreement
  • Establish the rights and obligations of the parties related to intellectual property (IP)
  • Determine any IP license rights granted
  • Outline the restrictions on use of the IP
  • Describe any additional protections for confidential information
  • Add any additional clauses related to IP enforcement
  • Check for accuracy, completeness, and consistency
  • Once everything is in place, you can move on to the next step: Ownership of IP.

Ownership of IP

  • Decide who will own the IP in the SaaS agreement (e.g. customer or SaaS provider)
  • Specify who is responsible for any costs associated with the IP
  • Clarify who will be responsible for registering and maintaining the IP
  • Outline the terms of use for IP owned by the customer
  • Specify any restrictions on the transfer of IP ownership
  • Include a provision for indemnifying the customer for any claims of infringement

You can check this off your list when all of the terms related to the ownership of IP have been included in the SaaS agreement.

Licensing of IP

  • Identify the scope of the license: what SaaS service is being licensed?
  • Agree on a licensing period: is it a one-time license or an ongoing agreement?
  • Decide on costs: what is the cost for the license?
  • Discuss any additional terms: is there a minimum or maximum usage?
  • Include provisions for termination: what are the terms for terminating the license?

Once you have outlined all of the necessary terms for the license, you can check it off your list and move on to the next step.

Limitations and liabilities

  • Outline the scope of the agreement and any limitations of liability
  • Describe any exclusions from the agreement, such as any warranties or limitations of liability
  • Establish the limitations of liability of each party
  • Describe any disclaimers or limitations of liability that may apply
  • Define any potential damages that may be incurred by either party
  • Specify the conditions under which any damages may be recovered
  • Outline any potential remedies that could be pursued in the event of a breach of the agreement

You will know you have completed this step when you have outlined the scope of the agreement and all limitations of liability, established the limitations of liability of each party, and described any disclaimers or limitations of liability that may apply.

Limitations of liability

  • Identify and define the limitations of liability for both parties
  • Include an exclusion of liability for consequential damages
  • Allocate risk between the parties
  • Ensure that the agreement addresses the limitation or exclusion of certain warranties
  • Specify the remedies available to the parties if a breach occurs
  • Check that the limitations are reasonable and equitable
  • When you are satisfied with the limitations, move on to the next step - Insurance requirements.

Insurance requirements

  • Review the types of insurance that are required for both parties in the agreement
  • Ensure all insurance requirements are clearly listed, including the type of insurance, any limits, and the party responsible for obtaining the insurance
  • Establish protocols for consistently monitoring the status of the insurance
  • Include language that clarifies the agreement is not contingent on any insurance requirements
  • Determine if there is a need for any additional insureds and how those will be managed
  • When all insurance requirements have been clearly defined, you can move on to the next step of Subscription and Payment terms.

Subscription and payment terms

  • Establish the term of the SaaS agreement and how it can be renewed or terminated
  • Describe the payment terms and the payment amounts
  • Outline any additional fees or charges associated with the service
  • Specify the payment method
  • Determine the payment cycle
  • Explain any applicable taxes and how they’re calculated
  • Include language on late fees and interest
  • Specify a cancellation policy
  • Note any renewal options

You can check this off your list and move on to the next step when the payment terms and related details have been agreed upon and documented in the agreement.

Payment for services

  • Establish the payment for services, including the amount and payment schedule
  • Specify the payment options and whether a service contract is required
  • Make sure to include details on late payments and any potential penalties
  • Clarify the currency that will be used for payments
  • Once all the payment details are included, you can move on to the next step: Payment terms.

Payment terms

  • Decide the payment schedule (e.g. upfront, monthly, quarterly, etc.)
  • Determine whether the pricing should be fixed or variable
  • Specify what type of payment will be accepted (e.g. credit card, check, wire transfer, etc.)
  • Agree on the currency for payment
  • Include any discounts or additional fees that apply
  • Include any additional terms or conditions related to payment

Once you have decided on the payment terms and incorporated them into the B2B SaaS Agreement, you can check this step off your list and move on to the next step, which is drafting the Late Payment Terms.

Late payment terms

  • Establish a late payment fee: This fee should be reasonable and should be clearly stated in the agreement.
  • Set reasonable payment terms: Depending on the agreement, this could be a number of days after the invoice is due, or a specific date each month.
  • Include a grace period: A grace period allows for reasonable flexibility if a payment is not received on time.
  • Specify the consequences: Include any consequences of late payments, such as suspension of services or additional fees.

Once you have established the late payment terms and included them in your B2B SaaS Agreement, you can check it off your list and move on to the next step.

Subscription periods

  • Establish the length of each subscription period: Decide how long each subscription period will be and include it in the agreement.
  • Determine when each subscription period will start: Specify when the subscription period will start, such as the date of acceptance of the agreement, or the date of receipt of the first payment.
  • Establish renewal of subscription: Decide whether the subscription will automatically renew at the end of each period and how much notice of termination is required.
  • Include renewal and termination conditions: Include conditions for renewal or termination of the agreement, such as payment of fees or satisfaction of performance standards.
  • Check that the subscription period is adequately covered: Ensure that the subscription period is adequately covered in both the agreement and any applicable laws.

You can check this off your list once the subscription periods and their conditions have been adequately covered in the agreement.

Termination provisions

  • Include a clause that outlines the circumstances under which the agreement can be terminated, including the termination rights of each party
  • Specify whether either party can terminate the agreement for breach of contract, and explain what constitutes a breach
  • Define any notice period for termination
  • Outline any remedies that are available to either party in the event of a breach by the other party
  • Include a clause that states that any termination of the agreement will not affect any accrued rights or liabilities of either party
  • When you have drafted all of the termination provisions, check them off your list and move on to the next step: ### Termination rights.

Termination rights

  • Include a clause stipulating the circumstances under which either party can terminate the agreement
  • Specify a notice period for terminating the agreement
  • Include a clause that clearly states what happens in the event of termination
  • Include a clause on the parties’ continuing obligations after termination of the agreement
  • Outline the return or disposal of data in the event of termination
  • State the consequences of terminating the agreement

When you have included all of the above items in your B2B SaaS Agreement, you can move on to the next step – Disposal of Data.

Disposal of data

  • Draft clauses requiring the parties to comply with all applicable laws and regulations concerning the disposal of data
  • Ensure that any disposal of data is completed in a secure manner and in compliance with applicable laws and regulations
  • Draft clauses requiring the parties to cooperate with each other to ensure the secure disposal of data
  • Confirm that the parties have agreed to the disposal of data methods specified within the agreement
    You will know when you can check this off your list and move on to the next step when all clauses regarding the disposal of data have been drafted, negotiated, and agreed upon by both parties.

Indemnification

  • Identify the parties and the scope of the indemnification obligations
  • Agree on the types of losses that the indemnifying party will cover
  • Identify any applicable exclusions or limitations to the indemnification obligations
  • Agree on the types of remedies that may be sought
  • Establish any applicable notice requirements
  • Establish any applicable time limits
  • Agree on the procedure for providing notifications, and the information that must be included in the notice

You will know you can check this off your list and move on to the next step when you have drafted an indemnification clause that outlines all of the above points.

Indemnification conditions

  • Identify what types of liabilities and losses are subject to indemnification and what are not
  • Determine how much each party will be responsible for in terms of indemnification
  • Identify the time frame for when indemnification must occur
  • Specify if indemnification will occur before or after a claim is settled
  • Establish if there is a cap on the amount of indemnification
  • Specify if the party being indemnified will have the right to control the defense of any claim
  • Include a clause that prohibits the indemnifying party from making any admissions of liability without the indemnified party’s permission

Once you have identified what types of liabilities and losses are subject to indemnification, determined how much each party will be responsible for and identified the time frame for when indemnification must occur, you can check off this step and move on to the next step.

Exclusions

  • Identify any services or software that are excluded from the agreement
  • Specify any liabilities that are excluded from the agreement
  • Include any other exclusions that you deem necessary
  • Check for any typos or errors in the agreement
  • Ensure that both parties have signed the agreement
  • Review the agreement to make sure it is complete and all points have been agreed upon

When you have completed all the points related to ### Exclusions, you can move on to the next step of drafting the B2B SaaS Agreement - ## Dispute Resolution.

Dispute resolution

  • Research applicable state laws and regulations that pertain to dispute resolution
  • Consult with a qualified attorney to ensure the agreement is compliant with state laws
  • Determine the dispute resolution process that best suits the business needs: arbitration, litigation, or mediation
  • Draft language outlining the dispute resolution process, including language regarding the selection of a neutral third-party, venue, and jurisdiction
  • Include language requiring confidentiality in the dispute resolution process
  • When the language is complete, review the agreement with a qualified attorney to ensure that the terms and conditions are fair and reasonable

Once you have drafted language outlining the dispute resolution process, have reviewed it with a qualified attorney, and are satisfied with the terms and conditions, you can check this off your list and move on to the next step.

Negotiation of disputes

  • Identify any issues that have arisen between the parties that have not yet been resolved
  • Agree on the rules of engagement for negotiating the dispute, including any deadlines and the method of communication to be used
  • Discuss and negotiate the issues until an agreement is reached
  • Record the agreement in a written statement to be signed by both parties
  • When both parties have signed the statement, the dispute has been successfully negotiated and can be marked as completed.

Mediation

  • Discuss the dispute with the other party, and identify potential solutions
  • Look for common ground in order to reach a resolution
  • Establish rules to guide the mediation process
  • Select a mediator, if necessary
  • Participate in mediation sessions, if requested by the mediator
  • Make sure all decisions are recorded in writing
  • When both parties reach an agreement, sign the written document
  • You will know that you can check this step off your list when both parties have signed the written document.

Arbitration

  • Determine the type of arbitration that would be most beneficial for both parties:
  • Binding arbitration
  • Non-binding arbitration
  • Establish the terms of the arbitration process:
  • Location
  • Language
  • Costs
  • Specify in the contract that any dispute resolution must take place through arbitration.

You will know you can move on to the next step when the arbitration section of the agreement is complete and all terms have been agreed upon by both parties.

Confidentiality

  • Identify the parties that will be required to maintain confidentiality
  • Define what constitutes confidential information
  • Outline a timeline for when confidential information must be returned or destroyed
  • Include a non-disclosure agreement that the parties sign
  • Include any additional clauses regarding the sharing of confidential information
  • Check for accuracy and make sure the confidentiality clauses are in line with the laws of the jurisdiction
  • Once all the clauses are included, the confidentiality provisions of the agreement are ready to be finalized.

Definition of confidential information

  • Define what confidential information is in the agreement.
  • Decide what should be considered confidential information and what should not be.
  • Identify what information must remain confidential and any limits or exceptions.
  • Establish rules or processes to protect confidential information.
  • Make sure all parties to the agreement understand their confidentiality obligations.

Once you have drafted the definition of confidential information, you can check this step off your list and move on to the next step.

Obligations of confidentiality

  • Address the obligations of the parties regarding the handling and use of confidential information
  • Ensure that all confidential information is identified as such
  • Set out the restrictions on how the confidential information can be used and by whom
  • Set out the obligations of the parties to keep the information confidential and protected
  • Establish a timeline for when confidential information will no longer be subject to the agreement
  • Specify how information can be shared with third parties and what restrictions will apply
  • Once you have outlined the obligations of confidentiality in the agreement, you can move on to the next step.

Exclusions

  • Identify any exclusions to the agreement that need to be added
  • This could include limitations on the parties’ obligations, liabilities, or warranties
  • The parties should also specify what types of losses or damages are not covered by the agreement
  • Include a provision stating that the agreement does not confer any third-party beneficiary rights
  • When all exclusions have been identified and added to the agreement, this step can be completed.

Representations and warranties

  • Review the definitions and scope of the representations and warranties given in the agreement
  • Identify the representations and warranties that are applicable to the agreement
  • List the representations and warranties in the agreement
  • Ensure that the representations and warranties are accurate, valid and up-to-date
  • Make sure that any representations and warranties that may be outdated or inaccurate are updated or removed
  • Review the agreement for any additional representations and warranties that may be needed
  • Make sure that all parties involved in the agreement clearly understand the representations and warranties
  • Once all the representations and warranties have been identified and validated, the agreement can be finalized and signed.

Representations

  • Research applicable laws and regulations that may be relevant to the agreement
  • Draft representations that are suitable for the particular SaaS agreement
  • Make sure the representations are consistent with the terms of the agreement
  • Have the agreement reviewed by a qualified attorney
  • Once representations are finalized and agreed upon, move on to the next step in the process (warranties)

Warranties

  • Include a warranty clause in the agreement that outlines the warranties, if any, that the seller is providing to the buyer.
  • Indicate if warranties are provided for a specific period of time and what remedies the buyer may have if the warranties are breached.
  • Spell out the warranties in detail and include any disclaimers to limit the seller’s liability.
  • Specify any other warranties that may be required such as warranties of merchantability or fitness for a particular purpose.

Once you have drafted the warranty clause, you can move on to the next step of drafting a B2B SaaS Agreement, which is to address Force majeure.

Force majeure

  • Understand the applicable law and the applicable force majeure terms: Check the law in the relevant jurisdiction and the clauses of the agreement to determine whether force majeure is applicable.
  • Identify the events that may qualify for a force majeure: Identify the events that may qualify for a force majeure and list them in the agreement.
  • Describe the effects of a force majeure: Describe the effects of a force majeure on the parties, such as a suspension of the performance of obligations or a reduction in the parties’ respective rights.
  • Set a timeline for the force majeure: Set a timeline for the force majeure, such as a period of six months.
  • Specify the remedies for the force majeure: Specify the remedies for the force majeure, such as a suspension of the performance of obligations or a reduction in the parties’ respective rights.

You’ll know you’ve completed this step when you have clearly outlined the applicable law and the applicable force majeure terms, identified the events that may qualify for a force majeure, described the effects of a force majeure, set a timeline for the force majeure, and specified the remedies for the force majeure.

Definition

  • Define the scope of the agreement, including the services being provided, the timeline and any terms and conditions
  • Clarify the roles and responsibilities of both parties
  • Identify any exclusions from the agreement
  • Draft definitions for any legal terms that may be used in the agreement
  • When you’re done, double-check your definitions against the agreement to make sure everything is in line
  • Once you’ve finished the definitions section, you can move on to the next step.

Exclusions

  • List out all the exclusions for this agreement, such as any services or products not included, warranties not given, etc.
  • Make sure to include language that states each party is responsible for its own costs and expenses.
  • Make sure to add language that makes clear that the agreement does not create any third-party beneficiary rights.
  • Include any other exclusions that are important to your agreement.
  • Once you have finished listing all the exclusions and adding the necessary language, you can move on to the next step.

Miscellaneous provisions

  • Include a clause that states that the agreement is governed by the laws of the state where the SaaS provider is located
  • Include a clause that states that any disputes will be resolved in the court system of the state where the SaaS provider is located
  • Include a clause that states that the agreement is the entire agreement and supersedes any prior or contemporaneous agreements or understandings
  • Include a clause that states that the SaaS provider is an independent contractor and not an employee or agent of the customer
  • Include a clause that states that no person or entity not a party to the agreement, including customers’ and SaaS provider’s respective affiliates, will be deemed a third party beneficiary
  • Include a clause that states that the customer shall not assign or otherwise transfer the agreement, in whole or in part, without the SaaS provider’s written consent
  • Include a clause that states that the customer is responsible for any taxes, fees, or other charges imposed by any governmental authority
  • Include a clause that states that the SaaS provider may modify the agreement upon written notice to the customer
  • Include a clause that states that failure of the SaaS provider to exercise or enforce any right or provision of the agreement shall not constitute a waiver of such right or provision

You will know when you can check this off your list and move on to the next step when you have added all the necessary miscellaneous provisions to your SaaS agreement.

Notices

  • Determine the contact information for each party: name, address, email, and phone number
  • Include information on how notices should be sent and received
  • Include the language that any notices sent are deemed delivered when received
  • Specify the language that any notices sent must be in writing
  • Specify how notices should be sent: by mail, email, or fax
  • Specify when notices are considered to be received: on delivery, on the third business day after mailing, etc.

Once you have included the relevant language for notices in your agreement, you can check this off your list and move on to the next step: ### Governing law.

Governing law

  • Identify the governing law that will apply to the agreement.
  • Consider including a choice of forum clause that requires disputes to be solved in a certain court and/or jurisdiction.
  • Note that parties should be aware of other laws that may impact them (e.g. data privacy laws).
  • Once the governing law has been identified and any applicable clauses have been included, you can check this step off your list and move on to the next one.

Severability

  • Check for any applicable laws that may void certain provisions of the agreement
  • Identify any provisions that are not severable and adjust the language of the agreement accordingly
  • Add a severability provision to the agreement that will allow for any void provisions to be severed from the agreement without affecting the enforceability of the remaining provisions
  • Check for any applicable laws that may require certain provisions to be severable
  • Verify that all parties are in agreement with the severability provision
  • Check off completing the Severability step from the list and move on to the next step, Entire Agreement.

Entire agreement

  • Read over the entire agreement to make sure that all of the essential terms are included
  • Ensure that there is an integration or merger clause that states that the agreement is the sole and entire agreement between the parties and supersedes all prior agreements
  • Verify that there is a clause which states that any amendment to the agreement must be in writing and signed by both parties
  • Make sure that the agreement includes a choice of law provision and a forum selection clause
  • Once you have verified that the agreement includes all of the essential terms, you can move on to the next step.

FAQ

Q: What is the difference between a B2B SaaS agreement and a traditional software agreement?

Asked by Abigail on April 1st 2022.
A: A B2B SaaS agreement is a type of software agreement designed specifically to cover the needs of a Software as a Service (SaaS) provider. It is different from a traditional software agreement because it covers the specifics of SaaS, such as the provider’s responsibility for hosting, availability, and maintenance of the product. It also covers the specifics of user access and usage, such as subscription terms and pricing. Additionally, it outlines what happens when users wish to terminate their service.

Q: Are there any particular legal considerations that I should be aware of when drafting a B2B SaaS agreement?

Asked by Jacob on June 10th 2022.
A: Yes, there are several legal considerations to be aware of when drafting a B2B SaaS agreement. Depending on the jurisdiction, you may need to consider whether there are any specific laws or regulations that must be included in the agreement. Additionally, you should consider any intellectual property rights that need to be addressed in the agreement, such as copyright and trademark protection. You should also review any applicable privacy laws and regulations that may apply to the services provided through your SaaS agreement. Finally, it’s important to ensure that you include provisions that address dispute resolution and enforceability in case of legal action.

Q: How do I ensure my B2B SaaS agreement complies with EU law?

Asked by Amelia on October 13th 2022.
A: To ensure your B2B SaaS agreement complies with EU law, you should review the applicable laws in each country where your business operates or provides services. Additionally, you should research relevant case law to ensure your agreement is up-to-date with current legal standards. Additionally, you should ensure that your agreement includes provisions for data protection and privacy in accordance with EU law, and that all data processing activities are compliant with data protection regulations such as GDPR. Finally, if you provide services in multiple countries, you should consider using a multi-jurisdictional approach in your agreement so that it is compliant with all applicable laws.

Q: Can I use my B2B SaaS agreement for customers outside of the US?

Asked by Noah on September 4th 2022.
A: Yes, you can use your B2B SaaS agreement for customers outside of the US, however it is important to ensure that your agreement complies with all applicable laws in those countries or regions. You should research the local laws and regulations in each country where you operate or provide services to ensure that all provisions in your agreement are compliant with local law. Additionally, you should include provisions for dispute resolution and enforceability that are specific to each jurisdiction where customers may be located.

Q: What happens if I need to make changes to my B2B SaaS Agreement?

Asked by Emma on August 12th 2022.
A: If you need to make changes to your B2B SaaS Agreement, it is important to ensure that all changes comply with applicable laws and regulations in each jurisdiction where customers may be located. It is also important to ensure that any amendments are consistent with existing terms and conditions outlined in the original document. You should also consider consulting an attorney or legal advisor before making any changes to your Agreement, as they can help review any changes before they are implemented. Finally, it is important to communicate any changes made to customers clearly so they understand how their rights may be impacted by any new terms or conditions outlined in the amended Agreement.

Example dispute

Suing a Company for Breach of a SaaS Agreement:

  • A plaintiff may raise a lawsuit against a company for breaching their SaaS agreement if they can prove that the company failed to meet the standards of the contract.
  • The plaintiff must show that the company violated the terms of the agreement and that the breach caused them harm or resulted in a financial loss.
  • The plaintiff must provide evidence of the breach and what damages were incurred as a result.
  • The plaintiff may be able to seek compensation for actual damages incurred, as well as punitive damages and attorney’s fees.
  • The court may also order the company to follow the terms of the SaaS agreement, or to pay specific compensation to the plaintiff.
  • Settlement can also be reached between the two parties, with the company agreeing to pay the plaintiff damages in exchange for the lawsuit being dropped.

Templates available (free to use)

Saas Agreement Yc

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