IT Service Agreement

IT Service Agreement Template for Indonesia

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Key Requirements PROMPT example:

"I need an IT Service Agreement for a cloud-based software development project in Jakarta, where we'll be the service provider delivering custom ERP solutions to a manufacturing company, with service commencement planned for March 2025."

Document background

The IT Service Agreement serves as a crucial legal framework for organizations engaging external IT service providers in Indonesia. This document is essential when establishing a formal relationship for the provision of information technology services, including software development, system maintenance, cloud services, or IT consulting. The agreement must comply with Indonesian regulations, particularly the Electronic Information and Transactions (ITE) Law and related data protection requirements. It outlines comprehensive terms covering service scope, performance metrics, data security, intellectual property rights, and dispute resolution mechanisms. This document is particularly important given Indonesia's growing digital economy and the increasing need for clear, legally-compliant IT service arrangements that protect both service providers and clients while ensuring alignment with local regulatory requirements.

Suggested Sections

1. Parties: Identification of the service provider and customer, including their legal status and registered addresses

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

3. Definitions: Detailed definitions of technical terms, service-related terminology, and other key concepts used in the agreement

4. Scope of Services: Detailed description of IT services to be provided, including core deliverables and service standards

5. Term and Termination: Duration of the agreement, renewal terms, and circumstances for termination

6. Service Provider Obligations: Key responsibilities and commitments of the service provider, including service levels and performance standards

7. Customer Obligations: Customer's responsibilities, including access provision, cooperation, and payment obligations

8. Fees and Payment Terms: Pricing structure, payment schedule, and related financial terms

9. Service Levels: Specific performance metrics, measurement methods, and consequences of failure to meet service levels

10. Data Protection and Security: Obligations regarding data protection, security measures, and compliance with Indonesian data protection laws

11. Intellectual Property Rights: Ownership and usage rights of pre-existing and newly created IP

12. Confidentiality: Protection of confidential information and trade secrets

13. Liability and Indemnification: Limitation of liability, indemnification obligations, and risk allocation

14. Force Majeure: Provisions for unforeseen circumstances preventing performance

15. Dispute Resolution: Process for resolving disputes, including jurisdiction under Indonesian law

16. General Provisions: Standard boilerplate clauses including notices, amendments, and assignment

Optional Sections

1. Change Management: Procedures for requesting and implementing changes to services or specifications - include when services are likely to evolve

2. Business Continuity and Disaster Recovery: Requirements for maintaining service continuity - include for critical services

3. Transition Services: Provisions for handover at the start and end of the agreement - include for complex service arrangements

4. Third-Party Services: Terms governing subcontractors and third-party service providers - include when subcontractors will be used

5. Compliance with Specific Regulations: Additional regulatory compliance requirements - include for regulated industries

6. Source Code Escrow: Terms for source code protection and access - include for custom software development

7. Training and Knowledge Transfer: Requirements for training customer personnel - include when significant user training is needed

8. Performance Monitoring: Detailed monitoring and reporting requirements - include for complex service level arrangements

Suggested Schedules

1. Service Description Schedule: Detailed technical specifications of all services to be provided

2. Service Level Agreement (SLA): Detailed service levels, performance metrics, and measurement methodologies

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

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

5. Personnel Schedule: Key personnel, roles, and responsibilities

6. Technical Requirements: Hardware, software, and infrastructure specifications

7. Data Processing Agreement: Detailed terms for personal data handling and protection

8. Business Continuity Plan: Detailed procedures for maintaining service continuity

9. Exit Management Plan: Procedures and requirements for service termination and transition

Authors

Alex Denne

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

alex.den.21@genieai.co

Relevant legal definitions

Clauses

Relevant Industries

Technology

Banking and Financial Services

E-commerce

Healthcare

Education

Manufacturing

Retail

Telecommunications

Government and Public Sector

Professional Services

Media and Entertainment

Insurance

Logistics and Transportation

Relevant Teams

Legal

Information Technology

Procurement

Operations

Risk and Compliance

Finance

Information Security

Project Management

Technical Services

Business Development

Data Protection

Relevant Roles

Chief Information Officer

IT Director

Chief Technology Officer

Procurement Manager

Legal Counsel

IT Project Manager

Information Security Manager

Operations Director

Contract Manager

Risk Manager

Compliance Officer

Technical Service Manager

Solutions Architect

Business Development Manager

Chief Financial Officer

Data Protection Officer

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