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Software Master Services Agreement Template for Australia

A comprehensive legal agreement governed by Australian law that establishes the framework for the delivery of software services between a service provider and a customer. This agreement sets out the essential terms and conditions for software service delivery, including service levels, pricing, data protection, intellectual property rights, and compliance with Australian regulations including the Privacy Act 1988 and the Competition and Consumer Act 2010. It serves as an umbrella agreement under which specific services can be detailed in statements of work, while ensuring compliance with Australian federal and state legislation.

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What is a Software Master Services Agreement?

The Software Master Services Agreement (MSA) is a foundational document used when establishing a long-term software service delivery relationship between a provider and customer in Australia. It is particularly relevant when the arrangement involves ongoing software services, multiple projects, or recurring services that will be detailed in subsequent statements of work. This agreement provides the overarching legal and commercial framework that governs all future software service engagements between the parties, ensuring compliance with Australian legislation including privacy laws, consumer protection, and electronic transactions regulations. The MSA addresses critical aspects such as service levels, data protection, intellectual property rights, and liability allocation, while remaining flexible enough to accommodate various types of software services through specific statements of work.

What sections should be included in a Software Master Services Agreement?

1. Parties: Identification of the contracting parties including their legal names, addresses, and company details

2. Background: Context of the agreement and brief description of the parties' business relationship

3. Definitions and Interpretation: Detailed definitions of terms used throughout the agreement and rules for interpretation

4. Term and Renewal: Duration of the agreement and conditions for renewal

5. Services Overview: General description of services covered by the MSA and process for adding specific services through SOWs

6. Service Level Requirements: Core service levels, availability requirements, and performance standards

7. Ordering Process: Process for requesting and implementing new services or changes to existing services

8. Fees and Payment Terms: Pricing structure, payment terms, invoicing procedures, and late payment consequences

9. Customer Obligations: Customer's responsibilities and requirements for enabling service delivery

10. Provider Obligations: Provider's core responsibilities and service delivery commitments

11. Data Protection and Security: Requirements for handling customer data, security measures, and privacy compliance

12. Intellectual Property Rights: Ownership and licensing of IP, including pre-existing IP and newly created materials

13. Confidentiality: Protection of confidential information and trade secrets

14. Warranties and Representations: Standard warranties regarding services, compliance with laws, and authority to contract

15. Liability and Indemnification: Limitations of liability and indemnification obligations

16. Insurance: Required insurance coverage and minimum limits

17. Termination: Grounds for termination, termination process, and consequences

18. Dispute Resolution: Process for resolving disputes, including escalation procedures

19. General Provisions: Standard boilerplate clauses including notices, assignment, and governing law

What sections are optional to include in a Software Master Services Agreement?

1. Hardware Requirements: Include when solution includes hardware components or specific customer infrastructure requirements

2. Professional Services: Include when provider will offer implementation, training, or consulting services

3. Change Management: Include for complex implementations requiring formal change control processes

4. Disaster Recovery: Include for business-critical software requiring specific recovery commitments

5. Source Code Escrow: Include when customer requires source code protection through escrow arrangement

6. International Data Transfer: Include when services involve cross-border data transfers

7. Service Credits: Include when parties agree to financial remedies for service level failures

8. Audit Rights: Include when customer requires specific audit or compliance verification rights

9. Competition Restrictions: Include when parties agree to non-compete or customer exclusivity provisions

What schedules should be included in a Software Master Services Agreement?

1. Schedule 1 - Service Descriptions: Detailed description of core services covered by the MSA

2. Schedule 2 - Service Level Agreement: Detailed service levels, measurement methods, and remedies

3. Schedule 3 - Fee Schedule: Detailed pricing, rate cards, and payment terms

4. Schedule 4 - Security Requirements: Specific security standards, protocols, and compliance requirements

5. Schedule 5 - Technical Requirements: Technical specifications and requirements for service delivery

6. Schedule 6 - Support Services: Support level definitions, response times, and escalation procedures

7. Schedule 7 - Data Processing Agreement: Detailed terms for personal data processing and protection

8. Schedule 8 - Business Continuity Plan: Disaster recovery and business continuity procedures

9. Appendix A - Form of Statement of Work: Template for creating project-specific statements of work

10. Appendix B - Change Request Form: Standard form for requesting and documenting changes to services

Authors

Alex Denne

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

Jurisdiction

Australia

Publisher

tiktok˰

Document Type

Service Agreement

Sector

Cost

Free to use

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