IT Service Agreement: A General Guide

Trustpilot

ContractsCounsel has assisted 59 clients with it service agreements and maintains a network of 82 business lawyers available daily. These lawyers collectively have 14 reviews to help you choose the best lawyer for your needs. Customers rate lawyers for it service agreement matters 4.67.

Several parameters must be considered when there is an exchange of service between a client and a service provider. These parameters commonly include the specification of the service provided, project duration, deliverables, compensation, etc. However, discrepancies might often be faced on both ends during the contract period. Thus both parties usually agree upon compensatory terms or negotiation.

What is an IT Service Agreement?

An IT service agreement is a document signed between the customer or the client and the person or company providing IT services. The IT service agreement talks about all the parameters that both parties fix within the contract. Further, a solution for any clause discrepancy, such as a late fee, right to hold the content produced, etc., can also be mentioned. This agreement is then documented after both parties and witnesses sign it. If in case of dispute, the affected party can sue or file a lawsuit against the other.

What is included in an IT Service Agreement?

Here are some things that are included in an IT service agreement -

This defines the type of arrangement both parties have, such as a full-time, part-time, or contractual agreement. It further states whether it is a one-time project or a recurring project.

It states whether the project is to be submitted as a whole or whether the service provider needs to provide timely updates. Further, the means of updating or communication may also be mentioned.

The final deadlines are clearly mentioned in cases of a one-time work or project. In the case of a step-wise project, relevant due dates are mentioned. It also discusses delayed extensions and what action must be taken if the deadlines are not met.

Within an agreement, it is mentioned what services the client shall receive. It also says services that are not included in the project. Within this it is also necessary to mention the softwares being used. Softwares play a vital part in the IT sector and can alter the quality or compatibility of the product.

The final payment amount, mode of payment, and payment type are clearly stated. The same must be mentioned if the cost is variable, depending on working hours, days, or deliverables.

If the client is providing their IT service provider with any type of compensation, such as travel charges, wi-fi bills, etc., the same must be mentioned, along with the amount.

When either party wishes to end the contract before its maturity period, they must inform the other well in advance. The notice period defines the number of days before which termination must be disclosed to the other party.

Once the project is completed and the final product is developed, it must be clear who has ownership of the same. If there is a partnership sharing, that too must be mentioned, along with the percentage of sharing.

This clause helps to safeguard any personal and private information exchanged during the time of the project. As per this clause, both parties cannot share or leak any information about the other party.

If there are any terms that both parties have mutually agreed upon, they must be mentioned in the contract. Verbal agreements do not have any value when it comes to legal matters.

Meet some lawyers on our platform

Forest H.

269 projects on CC CC verified

Gill D.

61 projects on CC CC verified

Dolan W.

10 projects on CC CC verified

Ryenne S.

708 projects on CC CC verified

What to do if the Terms of an IT Service Agreement are not met?

When any party signs a contract or an agreement with the other party, it becomes definite that they must obey every term mentioned in the same. Thus, no one should sign contracts without thoroughly reading them. If any party breaks the agreement, the other party has the right to file a case or sue them. There can be legal actions that can be taken. Thus, a lawyer for an IT service agreement comes into the picture.

Why hire a lawyer for an IT service agreement?

A lawyer can help you protect your rights while drafting an IT service agreement. They shall ensure that both parties mutually benefit. Lawyers play a significant role when it comes to contract management.

Role of a lawyer

Here are some of the roles that a lawyer plays -

If you lack legal knowledge, it is sometimes possible to miss out on deciding on specific terms ahead of time. It is quite normal to forget to discuss them, which can create a mess in the future. However, having a lawyer on your side can help you with such decisions. Based on your needs, they create a checklist that mentions everything you must discuss with the other party in advance.

The lawyer ensures that all terms are mentioned within the contract. They go through the contract multiple times to make sure no loophole is left behind. From a legal point of view, they create a contract that is air-tight.

If any government policies or acts have been in practice or recently changed that affect your project, the lawyer shall inform you. It is the duty of the lawyer to ensure that the project, as well as the drafted contract, meets the norms of the government.

When you expect to end the contract with the other party, your lawyer shall inform you about the clauses and deliverables you must keep in mind. They shall help you understand the clauses and the notice period better. The lawyer shall go through the contract and understand if there is any clause that their client is breaking while ending the contract. If so, they shall further look for a way to go over it.

If either party breaks the contract, the other party has the right to legally file a claim against the other party. Whether you are on the defendant or the other side, your lawyer shall help you make the most of the situation. They represent you and your interest in the court and ensure the best for you.

Conclusion

There are several parameters that must be considered within an IT service agreement. Having a lawyer on your side can help take a burden off your shoulders. They ensure that all your terms are mentioned within the contract and help safeguard your rights. If you are looking for an IT service agreement lawyer, check out ContractsCounsel. They have the world’s leading lawyers that shall help you draft the ideal contract.

ContractsCounsel is not a law firm, and this post should not be considered and does not contain legal advice. To ensure the information and advice in this post are correct, sufficient, and appropriate for your situation, please consult a licensed attorney. Also, using or accessing ContractsCounsel's site does not create an attorney-client relationship between you and ContractsCounsel.

Need help with an IT Service Agreement?

Create a free project posting Draft Contract Review Contract Clients Rate Lawyers 4.9 Stars based on 12,202 reviews

Meet some of our IT Service Agreement Lawyers

Garrett M.

Free Consultation Member Since:
June 15, 2023

Garrett M.

Free Consultation Cincinnati, Ohio 4 Yrs Experience Licensed in KY, OH University of Cincinnati College of Law

Attorney Garrett Mayleben's practice is focused on representing small businesses and the working people that make them profitable. He represents companies in structuring and negotiating merger, acquisition, and real estate transactions; guides emerging companies through the startup phase; and consults with business owners on corporate governance matters. Garrett also practices in employment law, copyright and trademark law, and civil litigation. Though industry agnostic, Garrett has particular experience representing medical, dental, veterinary, and chiropractic practices in various business transactions, transitions, and the structuring of related management service organizations (MSOs).

Jane C.

Free Consultation Member Since:
October 9, 2020

Jane C.

Free Consultation 19 Yrs Experience Licensed in CT, DC, NY Pace University School of Law

Skilled in the details of complex corporate transactions, I have 15 years experience working with entrepreneurs and businesses to plan and grow for the future. Clients trust me because of the practical guided advice I provide. No deal is too small or complex for me to handle.

Darryl S.

Founder and Counselor-at-Law Free Consultation Member Since:
November 9, 2023

Darryl S.

Founder and Counselor-at-Law Free Consultation 31 Yrs Experience Licensed in TX The University of Texas School of Law Austin

I offer flat/fixed fees rather than hourly work to help lower your legal costs and align our interests. I specialize in contract law and focus on making sure your contract is clear, protects your interests and meets your needs. You can expect fast, straightforward communication from me, making sure you understand every step. With my experience, you'll get a detailed review of your contract at a fair, fixed price, without any surprises. I have over 30 years of business and legal experience that I bring to your project. I graduated from The University of Texas School of Law with High Honors in 1993 and practiced at Texas' largest law firm. I have founded companies and so understand how to be helpful as both a lawyer and business owner.

Meghan T.

Free Consultation Member Since:
February 1, 2022

Meghan T.

Free Consultation 5 Yrs Experience Licensed in GA Emory University

Meghan Thomas is an accomplished transactional attorney. She specializes in IP, real estate and tech related transactional matters, and business contracts. Meghan's innovative leadership style has attributed to the firm's rapid development and presence in the metro-Atlanta market. She obtained her Doctor of Law from Emory University where she worked with the State Attorney General and litigated property disputes for disadvantaged clients. ​ Prior to practicing, Meghan negotiated complex transactions for Fortune 500 tech and healthcare companies. She lives with her family in Southwest Atlanta, enjoys cooking, travel, dance and continues to develop her research in the areas of transactional law and legal sustainability.

Amos M.

Free Consultation Member Since:
January 14, 2022

Amos M.

Free Consultation Nashville, TN 16 Yrs Experience Licensed in GA, TN Mississippi College School of Law

Since 2008, I have worked to assist clients in solving problems and addressing challenges that inevitably arise as a business grows - both anticipated and unexpected. My experience in Georgia and Tennessee in both drafting contracts and enforcing them via litigation and/or arbitration has provided clients with unique insights that help them anticipate problems and inform their decisions from start to finish.

Leah C.

Free Consultation Member Since:
January 18, 2022

Leah C.

Free Consultation 9 Yrs Experience Licensed in AL Birmingham School of Law

I am an attorney licensed in Alabama and have been in solo practice for 7 years. I have experience in Contracts drafting and review, Litigation and Immigration practice areas. I am available for new projects.

Cecilia O.

Contracts Attorney Free Consultation Member Since:
January 31, 2022

Cecilia O.

Contracts Attorney Free Consultation San Antonio 17 Yrs Experience Licensed in CT, MD Ghana School of Law

With 15 years of extensive transactional/contracts experience reviewing and negotiating commercial contracts including a wide variety of purchase orders and contracts and non-disclosure agreements (NDA), I believe I can immediately contribute to the continued success of your team. I have been commended for a range of valuable skills—excellent contract management and contract administration, legal research, risk analysis, drafting and negotiations, and strategic thinking. I have worked as a legal consultant for 10+ years and I have reviewed over 7,500 contracts through this position. Contracts I have reviewed include but not limited to purchase orders, commercial and construction contracts, equipment rental agreements, non-disclosure, confidentiality, vendor agreements, service agreements, site access agreements, international agreements, request for proposals (RFP), bids and government contracts. These experiences have enabled me to master the ability to work independently and expeditiously to identify and assess issues and provide legally sound recommendations, consistent with good business practices. I have led teams (sales, insurance and management) to successfully negotiate contract terms with customers. Effective Communicator and Negotiator. I am a people person, and for the past 13 years, I have acquired excellent oral and written communication skills that enable me to interact and negotiate effectively with stakeholders at all levels. I am a self-starter with a strong work ethic. I have a high degree of resourcefulness, diligence, and dependability. Most important, I adapt to changing priorities quickly, thriving in an environment with high volume and short turnaround deadlines. My experience over the years allows me to transfer my skills to all types of contracts to meet the client’s needs. I am hopeful to provide similar legal expertise, effective contract administration and leadership to your organization. It would be a pleasure to meet within the next few weeks and discuss how my qualifications, experience, and capabilities will best fit the needs of your outfit.