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Subscription Service Agreement Template for India

A comprehensive legal agreement governed by Indian law that establishes the terms and conditions for providing and receiving subscription-based services. This document outlines the recurring nature of the service delivery, payment terms, service level commitments, and the rights and obligations of both the service provider and subscriber. It incorporates key requirements from Indian legislation including the Information Technology Act, Consumer Protection Act, and data protection regulations, while establishing clear parameters for service delivery, quality standards, and dispute resolution mechanisms.

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What is a Subscription Service Agreement?

The Subscription Service Agreement is essential for businesses operating recurring service models in India's growing digital economy. This document type has become increasingly important with the rise of subscription-based business models across various sectors, from software services to content delivery. The agreement needs to comply with Indian legal requirements, including the Indian Contract Act, 1872, Information Technology Act, 2000, and Consumer Protection Act, 2019. It typically covers service scope, subscription terms, payment mechanisms, service level commitments, data protection, and termination conditions. The document is particularly crucial for businesses offering regular, ongoing services to customers, whether B2B or B2C, and needs to address both traditional and digital service delivery methods while ensuring compliance with Indian regulatory requirements.

What sections should be included in a Subscription Service Agreement?

1. Parties: Identification of the service provider and subscriber, including registered addresses and company details

2. Background: Context of the agreement and brief description of the subscription service offering

3. Definitions: Detailed definitions of terms used throughout the agreement

4. Scope of Services: Detailed description of the subscription services being provided

5. Subscription Terms: Duration, renewal, and modification terms of the subscription

6. Payment Terms: Pricing, payment schedule, payment methods, and billing procedures

7. Service Level Commitments: Performance standards, availability guarantees, and quality metrics

8. User Access and Security: Terms regarding access credentials, security responsibilities, and acceptable use

9. Data Protection and Privacy: Data handling, privacy policies, and compliance with Indian data protection laws

10. Intellectual Property Rights: Ownership and usage rights of content, software, and related materials

11. Confidentiality: Protection of confidential information exchanged during service provision

12. Warranties and Representations: Guarantees and disclaimers regarding service quality and performance

13. Limitation of Liability: Limits on liability and exclusions of certain types of damages

14. Termination: Conditions and procedures for ending the subscription service

15. Dispute Resolution: Process for resolving disputes, including jurisdiction and governing law

16. General Provisions: Standard legal provisions including notices, assignment, and severability

What sections are optional to include in a Subscription Service Agreement?

1. Third-Party Integrations: Terms regarding integration with third-party services or platforms, used when the service connects with other providers

2. Professional Services: Terms for additional implementation or support services, included when professional services are part of the offering

3. Service Credits: Compensation mechanism for service level failures, included for enterprise-grade services

4. Compliance Requirements: Industry-specific compliance terms, included when serving regulated industries

5. Insurance: Insurance requirements and coverage details, typically included for high-value or high-risk services

6. Disaster Recovery: Business continuity and disaster recovery procedures, included for critical services

7. User Generated Content: Terms regarding user-contributed content, included when the service allows user content

8. Beta Services: Terms for beta or trial features, included when offering pre-release functionality

What schedules should be included in a Subscription Service Agreement?

1. Service Description Schedule: Detailed technical specifications and features of the subscription service

2. Service Level Agreement (SLA): Detailed performance metrics, measurement methods, and remedies

3. Pricing Schedule: Detailed pricing tiers, usage calculations, and payment terms

4. Data Processing Agreement: Detailed terms for handling personal data in compliance with Indian law

5. Security Requirements: Detailed security protocols and requirements for service delivery

6. Support Services Schedule: Details of support levels, response times, and escalation procedures

7. Acceptable Use Policy: Detailed rules and restrictions for service usage

8. Implementation Schedule: Timeline and milestones for service implementation, if applicable

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

India

Publisher

Ƶ

Cost

Free to use

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