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Delivery Service Agreement

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DELIVERY SERVICE AGREEMENT

This Delivery Service Agreement ("Agreement") is entered into as of by and between:

RECITALS

WHEREAS, Service Provider is engaged in the business of providing transportation and delivery services, and has the capacity, equipment, and personnel necessary to perform deliveries in accordance with this Agreement; and

WHEREAS, Client desires to engage Service Provider to perform delivery services under the terms and conditions set forth in this Agreement, and Service Provider is willing to perform such services for the compensation and on the terms set forth herein;

NOW, THEREFORE, in consideration of the mutual covenants contained herein and other good and valuable consideration, the sufficiency of which is acknowledged, the parties agree as follows:

SCOPE OF WORK

Service Provider shall provide delivery services as follows. Service Provider shall perform pickups, transportation, and delivery of goods described below in a timely, professional, and workmanlike manner, consistent with industry standards and applicable laws.

PAYMENT TERMS

Client shall pay Service Provider the fees specified below for services rendered under this Agreement. All fees are exclusive of applicable taxes unless otherwise stated.

PERFORMANCE AND INSURANCE

Service Provider represents that it will maintain all licenses, permits, and insurance required by law and industry practice, including commercial general liability and automobile liability insurance in amounts sufficient to cover claims arising from performance of services. Upon request, Service Provider shall provide certificates of insurance to Client.

TERM AND TERMINATION

This Agreement shall commence on and shall continue until unless earlier terminated in accordance with this Section.

CONFIDENTIALITY

Each party acknowledges that in connection with performance of this Agreement it may receive confidential or proprietary information of the other party ("Confidential Information"). Neither party shall disclose such Confidential Information to third parties or use it except as necessary to perform its obligations under this Agreement. Confidentiality obligations shall survive termination for a period of years, except to the extent disclosure is required by law or the information becomes public through no fault of the recipient.

LIMITATION OF LIABILITY

Except for liability arising from willful misconduct or gross negligence, each party's aggregate liability under this Agreement shall be limited to direct damages not to exceed the total fees paid by Client to Service Provider under this Agreement during the six (6) months preceding the claim. Neither party shall be liable for incidental, consequential, or punitive damages.

GOVERNING LAW

This Agreement shall be governed by and construed in accordance with the laws of the State of without regard to conflict of laws principles.

ENTIRE AGREEMENT

This Agreement, including any exhibits or attachments executed by the parties, constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior and contemporaneous agreements, proposals, negotiations, and understandings, whether written or oral. Any amendment or modification to this Agreement must be in writing and signed by authorized representatives of both parties.

MISCELLANEOUS

Neither party may assign its rights under this Agreement without the prior written consent of the other party, except that a party may assign this Agreement to an affiliate or in connection with a merger or sale of substantially all of its assets. The invalidity of any provision of this Agreement shall not affect the remaining provisions, which shall remain in full force and effect.

Service Provider:

By:

Date:

Client:

By:

Date:

Enter text✕

What a Delivery Service Agreement Covers

A Delivery Service Agreement is a contract between a service provider (carrier) and a client (shipper or recipient) that defines the scope, timing, compensation, responsibilities, and liability for transporting goods. Typical provisions cover service levels and delivery windows, payment terms, proof-of-delivery (POD) procedures, insurance requirements, cargo loss and damage allocation, indemnities, confidentiality for sensitive shipments, termination rights, and governing law. The agreement can be executed electronically in accordance with U.S. e-signature law when parties consent to electronic records and signatures.

Why a Written Agreement Matters for Deliveries

A clear Delivery Service Agreement reduces disputes by allocating risk, setting service expectations, and documenting remedies. When executed electronically with consent, signatures meet federal standards under the ESIGN Act (15 U.S.C. ch. 96) and state UETA laws, subject to limited statutory exceptions such as wills and certain court filings.

Why a Written Agreement Matters for Deliveries

Who Typically Uses a Delivery Service Agreement

Typical users include logistics providers, retailers and marketplaces, and businesses arranging regular shipments or third-party deliveries.

  • Courier and logistics companies that provide scheduled pickup and delivery services to multiple business customers.
  • Retailers and e-commerce platforms that outsource last-mile delivery or fulfillment to third parties.
  • Enterprises and manufacturers that require recurring freight services, POD verification, and insurance coverage.

Parties should confirm signer authority and review industry-specific requirements (insurance, hazardous materials, patient privacy) before executing.

Essential Clauses to Include

A professional Delivery Service Agreement is concise but comprehensive: each clause should allocate responsibilities, define performance benchmarks, and provide mechanisms for monitoring and remedying failures.

Parties & Scope

Identify full legal names of the carrier and client, covered routes, types of goods, and any excluded items to avoid ambiguity during claims.

Service Levels

Define delivery windows, appointment scheduling rules, on-time performance metrics, and allowable delays or force majeure conditions.

Rates & Payment

Specify charges, billing frequency, allowances for fuel surcharges or accessorial fees, invoicing requirements, and late-payment interest.

Proof of Delivery

Describe acceptable POD evidence (signed manifest, electronic timestamps, photographic proof), retention period for POD records, and dispute timelines.

Insurance & Liability

Set minimum insurance types and limits, allocation of loss risk, deductible responsibilities, and process for filing claims.

Termination & Remedies

Include termination for convenience and breach, cure periods, limitations of liability, indemnification scope, and exclusive remedy clauses where appropriate.

Key Information to Collect on the Form

Carrier Name: Full legal entity name
Client Name: Full legal entity name
Service Description: Route and goods type
Effective Date: MM/DD/YYYY
Insurance Limits: Policy types and amounts
Signature Block: Signer name, title, date

Step-by-Step: Completing the Agreement

Follow these steps to prepare, sign, and store a compliant Delivery Service Agreement.

  • 01
    Prepare Template: Gather standard clauses and company-specific terms.
  • 02
    Enter Parties: Confirm legal names and contact details.
  • 03
    Specify Terms: Add service levels, rates, insurance, and POD requirements.
  • 04
    Sign & Store: Obtain signatures, distribute fully executed copies, archive securely.

How to Configure an Online Signing Workflow

Set up a clear routing and authentication flow so the right people sign in the correct order and records are retained automatically.

Field Configuration
Authentication Method Email link or SMS code
Routing Order Sequential signer order
Notifications Email reminders and status updates
Archive Location Secure cloud folder with audit trail

Where to Send or File the Executed Agreement

Decide distribution targets and storage locations in advance so execution triggers immediate access for billing, claims, and compliance.

  • Legal Files: Store executed PDF in contract repository
  • Operations: Send POD and service SLAs to operations inbox
  • Billing: Attach agreement to billing system entries
  • Insurance: Provide copy to insurer when requested

Digital Signing and System Integrations

Use a platform that supports secure file formats, audit trails, and your required signer authentication methods.

  • File Formats: PDF, DOCX, and image attachments
  • Integrations: CRM, ERP, and cloud storage options
  • Authentication: Email, SMS, KBA, SSO

Integrations with systems like NetSuite, Salesforce, Microsoft 365, and Google Workspace streamline routing, storage, and billing reconciliation.

Common Timelines and Deadlines to Include

Define clear timing for performance, claims, payment, and renewals to reduce disputes and simplify operational compliance.

Delivery Window:

Specify agreed window and acceptable variance

Claims Deadline:

Short window (e.g., 7–14 days) for notifying loss or damage

Payment Terms:

Net 30 or specified alternative

Insurance Notice:

Prompt notification period for insurer

Renewal Notice:

Specify notice period before automatic renewal

Common Preparation Mistakes to Avoid

  • Using generic scope language that leads to disagreements about what goods or routes are covered.
  • Failing to require sufficient insurance or to verify certificates before service begins.
  • Leaving proof-of-delivery procedures undefined, which complicates claim adjudication and payment disputes.
  • Not confirming the signer's authority, resulting in avoidable contract challenges or delayed enforcement.

Consequences of an Incomplete or Incorrect Agreement

Liability Gap: Carrier or client may bear unexpected loss
Claim Denial: Insurance may deny if policy requirements unmet
Payment Disputes: Ambiguous terms trigger late payments
Regulatory Risk: Noncompliance with hazardous materials rules
Operational Delays: Missing POD rules slow reconciliation
Invalid Signature: Missing consent can affect enforceability

Selected eSignature Vendor Pricing and Features

Platforms differ on price, bulk send, and compliance. The table shows common entry-level pricing and basic capability indicators; confirm vendor plans for enterprise requirements.

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 trial Varies Varies Varies Varies
Bulk Send Yes Yes Yes Yes No
Audit Trail Yes Yes Yes Yes Yes
HIPAA Compliant Yes Yes Yes No No

How Organizations Use Delivery Service Agreements

Real-world examples illustrate practical clauses and the benefits of consistent execution and recordkeeping.

Optica Ventures (COO)

Optica standardized carrier terms to reduce disputes over scope.

  • The team required POD with timestamps for all shipments.
  • Standardized terms reduced turnaround on claims and simplified reconciliations between operations and finance while maintaining clear responsibilities for freight charges.

Martin Properties (Founder)

Martin Properties moved lease-related deliveries to a single preferred carrier with an SLA.

  • They required electronic POD and insurance verification.
  • Centralizing delivery services improved compliance with lease obligations and reduced administrative work across property teams.

Frequently Asked Questions

Answers to common legal and practical questions about creating, signing, and enforcing a Delivery Service Agreement.


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