The Term Service Contract is a fundamental commercial agreement used in New Zealand business operations for establishing long-term service arrangements between service providers and their customers. This document type is essential when parties require a structured framework for ongoing service delivery, whether for professional services, maintenance, IT services, or other continuous service arrangements. It includes comprehensive provisions for service scope, performance standards, payment terms, and risk allocation, all aligned with New Zealand legal requirements. The agreement is particularly suitable for businesses seeking to formalize service relationships with clear deliverables, service levels, and commercial terms. It incorporates necessary protections and obligations under key New Zealand legislation, including the Contract and Commercial Law Act 2017, Fair Trading Act 1986, and where applicable, the Consumer Guarantees Act 1993.
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1. Parties: Identification and details of the service provider and customer, including registered addresses and company numbers
2. Background: Context of the agreement, brief description of the services, and the parties' intentions
3. Definitions and Interpretation: Defined terms used throughout the agreement and rules for interpreting the contract
4. Term and Renewal: Duration of the agreement, commencement date, and renewal provisions
5. Services: High-level description of services to be provided, with reference to detailed specifications in schedules
6. Service Provider's Obligations: Key responsibilities and commitments of the service provider
7. Customer's Obligations: Key responsibilities and commitments of the customer
8. Fees and Payment: Payment terms, fee structure, invoicing, and payment methods
9. Service Levels: Performance standards and metrics for service delivery
10. Intellectual Property: Ownership and licensing of IP rights related to the services
11. Confidentiality: Protection and handling of confidential information
12. Liability and Indemnities: Limitation of liability and indemnification provisions
13. Termination: Grounds for termination, notice periods, and consequences of termination
14. General Provisions: Standard boilerplate clauses including notices, assignment, and governing law
1. Data Protection and Privacy: Required when personal data processing is involved in service delivery
2. Force Majeure: Include when services might be affected by events beyond parties' control
3. Change Control: Include for complex services where scope changes are likely
4. Audit Rights: Include when compliance verification or performance monitoring is required
5. Insurance: Include when specific insurance coverage requirements exist
6. Business Continuity: Include for critical services requiring disaster recovery planning
7. Anti-Bribery and Corruption: Include for international services or high-value contracts
8. Health and Safety: Include when services involve on-site work or physical risks
1. Schedule 1 - Service Specifications: Detailed description of services, methodologies, and deliverables
2. Schedule 2 - Service Levels and KPIs: Detailed performance metrics, measurement methods, and reporting requirements
3. Schedule 3 - Fees and Charges: Detailed pricing structure, rate cards, and payment milestones
4. Schedule 4 - Implementation Plan: Timeline and milestones for service implementation or transition
5. Schedule 5 - Key Personnel: Details of key staff members and their roles
6. Schedule 6 - Form of Change Order: Template for documenting and approving changes to services
7. Appendix A - Technical Requirements: Technical specifications and requirements for service delivery
8. Appendix B - Security Requirements: Security protocols and compliance requirements
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