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Business Network Services Agreement

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BUSINESS NETWORK SERVICES AGREEMENT

Parties and Effective Date

Effective Date:

Recitals

WHEREAS, Provider is engaged in the design, deployment, operation and maintenance of networked information technology systems, including but not limited to routing, switching, firewalling, wireless infrastructure and remote connectivity; and

WHEREAS, Client desires to engage Provider to furnish network services and associated support under the terms and conditions set forth in this Agreement; and

WHEREAS, Provider represents that it has the expertise, personnel and resources necessary to perform the services described herein and Client desires to receive such services.

Scope of Work

Provider shall deliver network services described below and any ancillary services reasonably necessary for the operation and maintenance of Client's network environment. Services shall be performed in a professional manner consistent with industry standards.

Payment Terms

Client shall pay Provider the fees for Services as set forth below. All amounts are payable in U.S. dollars unless otherwise agreed in writing.

Late Payment: If Client fails to pay any undisputed amount when due, Provider may assess interest on the unpaid amount at a rate of % per month, or the maximum rate permitted by law, whichever is less, after a grace period of days.

Term and Termination

Term: The term of this Agreement shall commence on and shall continue until , unless earlier terminated in accordance with this Section.

Termination for Cause: Either party may terminate this Agreement for material breach by the other party if the breaching party fails to cure the breach within days after receipt of written notice specifying the breach.

Termination for Convenience: Either party may terminate this Agreement for convenience upon prior written notice of days to the other party. Upon termination, Client shall pay Provider for all services performed and reasonable costs incurred through the effective date of termination.

Confidentiality

Definition: "Confidential Information" means nonpublic information disclosed by a party (Disclosing Party) to the other party (Receiving Party) that is designated as confidential or that a reasonable person would understand to be confidential given the nature of the information and the circumstances of disclosure, including network architecture, credentials, security procedures and business terms.

Obligations: Receiving Party shall (a) restrict disclosure of Confidential Information to its employees, contractors and agents with a need to know and who are bound to protect such information at least as strictly as Receiving Party hereunder; (b) use Confidential Information solely for performance of obligations under this Agreement; and (c) employ reasonable administrative, physical and technical safeguards to protect Confidential Information.

Exclusions: Confidential Information does not include information which (i) is or becomes publicly known through no breach by Receiving Party; (ii) was known to Receiving Party prior to disclosure; (iii) is rightfully received from a third party without restriction; or (iv) is independently developed without use of the Disclosing Party's Confidential Information.

Duration: The confidentiality obligations in this Section shall survive termination of this Agreement for a period of years, except with respect to trade secrets which shall be protected for so long as they remain trade secrets under applicable law.

Service Levels & Maintenance

Provider will use commercially reasonable efforts to provide the Services in accordance with the service levels agreed in the Scope of Work. Provider shall notify Client of scheduled maintenance with reasonable advance notice and shall use commercially reasonable efforts to minimize interruption to Client operations.

Data Security & Compliance

Provider shall implement and maintain administrative, physical and technical safeguards appropriate to the size and complexity of Provider's operations to protect Client data. Provider shall promptly notify Client of any unauthorized access to Client data and shall cooperate in incident response and remediation.

Indemnification & Limitation of Liability

Indemnification: Each party agrees to indemnify, defend and hold harmless the other party from third‑party claims arising out of that party's gross negligence or willful misconduct in the performance of this Agreement, subject to the indemnified party providing prompt written notice and reasonable cooperation.

Limitation of Liability: Except for liability arising from a party's gross negligence, willful misconduct, or breach of confidentiality, neither party shall be liable for special, incidental, consequential or punitive damages. The aggregate liability of Provider for any claim arising out of or relating to this Agreement shall not exceed .

Intellectual Property

Provider retains all right, title and interest in its preexisting intellectual property, tools, methodologies and software. Client retains all right, title and interest in Client data and Client's preexisting intellectual property. Provider is granted a limited, nonexclusive, nontransferable license to use Client materials solely to perform the Services.

Governing Law; Dispute Resolution

This Agreement shall be governed by and construed in accordance with the laws of the state of , without regard to conflict of law principles. The parties shall attempt to resolve disputes through good faith negotiation prior to initiating litigation.

Miscellaneous

Entire Agreement: This Agreement, including any exhibits or statements of work signed by the parties, constitutes the entire agreement between the parties with respect to the subject matter and supersedes all prior agreements and understandings. Any amendment must be in writing and signed by authorized representatives of both parties.

Assignment: Neither party may assign this Agreement without the prior written consent of the other party, except that either party may assign this Agreement in connection with a merger, sale of substantially all assets, or change of control, provided the assignee assumes the assigning party's obligations hereunder.

Severability: If any provision is found to be invalid or unenforceable, the remaining provisions shall remain in full force and effect.

Provider:

By:

Date:

Client:

By:

Date:

Enter text✕

What a Business Network Services Agreement Is and when it's used

A Business Network Services Agreement is a contract that defines the relationship between a service provider and a business network operator for delivery, access, maintenance, and support of network services. It sets scope, service levels, pricing, data handling, confidentiality, liability limits, and termination mechanics so each party understands obligations, performance metrics, and remedies. The agreement is commonly used for managed network services, connectivity platforms, carrier relationships, and third-party managed service providers where multi-party coordination and recurring services require clear contractual governance.

Why this agreement matters for legal certainty and operations

A clear Business Network Services Agreement allocates operational risk, defines uptime and support expectations, and clarifies billing and termination. It provides enforceable terms that businesses can rely on to manage outages, compliance responsibilities, and vendor accountability under applicable law, including ESIGN (15 U.S.C. ch. 96) and state UETA statutes.

Why this agreement matters for legal certainty and operations

Typical parties who prepare and sign this agreement

Businesses, managed service providers, IT departments, and resellers typically prepare or request a Business Network Services Agreement before provisioning network services.

  • Enterprise IT teams and network operations groups managing third-party connectivity and SLAs across locations.
  • Managed Service Providers (MSPs) contracting with customers for recurring network management and support.
  • Telecommunications carriers and resellers offering connectivity, peering, or colocation services.

The document clarifies roles across technical, billing, and legal teams so operational handoffs and liability are explicit during the service lifecycle.

6 essential components to include in a professional agreement

A complete Business Network Services Agreement structures commercial, technical, security, and termination terms so parties can operate with shared expectations and measurable obligations.

Parties

Identify full legal names and contact details for each contracting entity, including billing and notice addresses, to avoid ambiguity in enforcement and service requests.

Scope

Specify services provided, excluded items, service locations, and accepted change control procedures to prevent scope creep and disputes over deliverables.

Service Levels

Define uptime, response/resolution timelines, measurement windows, credits or remedies, and reporting cadence so performance is objectively measured.

Fees and Billing

State pricing, invoicing frequency, payment terms, late fees, and a process for rate changes or pass-through costs such as third-party carrier charges.

Confidentiality

Include data protection obligations, restricted disclosures, permitted recipients, and required breach notification timelines tied to applicable privacy laws.

Termination

List termination for cause and convenience, cure periods, transition assistance, and obligations on termination such as data return and final billing.

How to complete a Business Network Services Agreement step by step

Follow these sequential steps to prepare and finalize the agreement with minimal back-and-forth.

  • 01
    Draft key terms: Assemble scope, SLAs, fees, and term.
  • 02
    Internal review: Legal and finance review obligations and risk.
  • 03
    Negotiate with counterparty: Resolve material points and change control.
  • 04
    Execute and archive: Sign, distribute executed copies, and retain records.

How to set up the online signing workflow

Configure fields, authentication, and notifications to align the digital workflow with internal controls and compliance needs.

Field Configuration
Authentication Method Email link, SMS code, or KBA per risk profile
Conditional Fields Show or hide sections based on prior responses
Template Reuse Save standard clauses as templates for consistency
Integrations Connect to CRM or document store for automatic routing

Where to send, file, and submit executed agreements

Define distribution and filing points to ensure compliance with retention and operational workflows.

  • Counterparty Records: Send executed PDF to both parties' contract repositories.
  • Internal Systems: Upload signed copies to contract management and billing systems.
  • Legal Department: Provide final version to legal for compliance review.
  • Backup Archive: Store a copy in secure long-term document storage.

Digital signing and file-format considerations

Choose a platform that supports common file formats, integrations, and required authentication levels for your organization.

  • File Formats: PDF, DOCX, HTML supported
  • Integrations: CRM and storage integrations
  • Authentication: Email, SMS, KBA, SSO

Ensure the vendor you select provides audit trails, secure storage (AES-256), transport encryption (TLS 1.2/1.3), and APIs to integrate with your contract lifecycle tools.

Common timelines and notice periods to include

Include clear deadlines for signature, performance milestones, payment, and renewal notices to avoid ambiguity.

Signature Deadline:

Specify a date or number of days to execute the agreement

Performance Milestones:

List milestone dates and acceptance criteria

Payment Terms:

State invoice due days (e.g., Net 30) and late fee terms

Renewal Notice:

Define notice period for automatic renewal or termination

Cure Periods:

Provide periods for remedying breaches before termination

Common preparation errors to avoid

  • Using nonstandard party names or abbreviations that prevent matching to vendor or legal records during enforcement.
  • Leaving scope or deliverable descriptions vague, which leads to disputes over what the provider must deliver.
  • Failing to attach required exhibits—network diagrams, IP ranges, or carrier statements—so the service baseline is unclear.
  • Skipping specific SLA measurement details or monitoring sources, creating disagreement on uptime calculations and credits.

Key legal and financial risks from errors

Breach Damages: Monetary exposure for failing SLAs
Termination Costs: Early termination fees or transitional expenses
Data Liability: Costs from data breaches and notification
Regulatory Fines: Fines for noncompliance with sector rules
Tax Penalties: Reporting or withholding failures
Enforceability: Invalid signatures if execution formalities missing

eSignature vendor comparison for signing and managing network services agreements

This comparison highlights common plan and feature differences relevant to signing and managing Business Network Services Agreements; signNow is listed first per platform data.

signNow DocuSign Adobe Sign PandaDoc HelloSign
Starting Price $8/user/mo $15/user/mo $14/user/mo $19/user/mo $15/user/mo
Free Trial 7-day free trial Trial varies Trial varies Free trial available Free trial available
Bulk Send Yes (Business Premium) Yes Yes Yes No
Audit Trail Yes Yes Yes Yes Yes
HIPAA Compliant Yes Yes Yes No No
Envelope Cap No envelope cap 100 envelopes/user/year Varies by plan Varies by plan Varies by plan

Real examples of how similar agreements are used

These real-world examples show how organizations structure agreements and the operational benefits they achieved.

Optica Ventures LLC

Optica standardized network SLAs across portfolios to reduce vendor variation and speed deployment.

  • They used templated clauses for uptime and credits.
  • The result was faster contract cycles and clearer operational handoffs among property managers and third-party carriers, improving incident resolution accountability.

Xerox (NetSuite Operations)

Xerox integrated signed agreements into NetSuite for billing and change control.

  • Integration automated invoicing triggers.
  • That approach reduced manual billing errors, shortened invoice cycles, and provided a single source of truth for contract terms and amendments.

Frequently asked questions and practical answers

Answers to common questions about enforceability, e-signing, notarization, and correcting executed Business Network Services Agreements.


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