Can this addendum be signed electronically?

Yes. Electronic signatures are enforceable under the ESIGN Act (15 U.S.C. §7001) and UETA where adopted, provided intent, consent, attribution, and record retention are met.

Is notarization required to make it valid?

Generally no for standard commercial contracts, though specific states or transaction types may require notarization; verify state rules and stakeholder requirements before execution.

Do I need a Business Associate Addendum (BAA)?

If the addendum permits access to protected health information, a BAA is required under HIPAA; the addendum should reference the BAA and applicable safeguards.

What happens if parties use different master agreement versions?

Identify and cite the exact master agreement version in the addendum. Conflicting versions can create ambiguity; resolve inconsistencies before signing.

How soon should transition tasks begin after signature?

Begin according to the effective date in the addendum. Include a handover schedule with milestones to avoid premature or delayed access changes.

How long must executed addenda be retained?

Retain executed addenda per applicable federal standards (IRS: 3 years, IRC §6501(a)) and industry rules such as HIPAA (6 years, 45 CFR §164.530(j)); state rules may require longer retention.

Electronic Signature
Templates
Miscellaneous
Rightsourcing Services Addendum

Rightsourcing Services Addendum

This template is fully customizable. Edit the text, fill out the fields, and send it for signature. Give it a try!

Rightsourcing Services Addendum

This Rightsourcing Services Addendum (the Addendum) is made effective as of (Effective Date) and amends the Master Services Agreement referenced below between the parties.

Parties and Reference

Client Name Client Address Service Provider Name Service Provider Address

Reference Master Services Agreement dated (Master Agreement). This Addendum modifies and supplements the Master Agreement solely as set forth herein.

WHEREAS

WHEREAS, Client desires to optimize delivery of certain functions and services by rightsourcing work across multiple delivery locations, resource types, and engagement models; and

WHEREAS, Provider has the operational capability and agrees to perform certain Rightsourcing Services in accordance with the terms of the Master Agreement as amended by this Addendum; and

WHEREAS, the parties intend to define the scope, pricing adjustments, transition responsibilities and governance for the Rightsourcing Services to ensure continuity, quality, and protection of Client information and intellectual property.

Scope of Work

Detailed Scope of Rightsourcing Services

The Scope of Work may include, but is not limited to: transfer or reallocation of defined tasks, allocation of personnel across onshore/offshore/hybrid locations, implementation of transition plans, knowledge transfer, and ongoing service delivery under the metrics set forth in this Addendum and the Master Agreement.

Rightsourcing Model

Select applicable model(s): Onshore Offshore Hybrid

Payment Terms

Compensation for Rightsourcing Services shall be as follows: Fee Type:

Total Agreed Amount Payment Schedule / Milestones

Invoices are due and payable within days of receipt. Late payments shall accrue interest at per month or the maximum rate permitted by law, whichever is lower.

Term and Termination

This Addendum commences on the Effective Date and shall continue until unless earlier terminated in accordance with this Addendum or the Master Agreement.

Either party may terminate this Addendum for convenience upon providing days' prior written notice. Termination for material breach shall follow the cure and notice provisions of the Master Agreement; if cure is not effected within the applicable cure period, the non-breaching party may terminate immediately.

Upon termination or expiration, Provider will provide transition assistance, including knowledge transfer, documentation, and reasonable cooperation to return services to Client or the successor provider for a period not to exceed days and will be compensated at the rates set forth in the Master Agreement or as otherwise agreed in writing.

Confidentiality

All Confidential Information exchanged in connection with Rightsourcing Services shall be subject to the confidentiality obligations in the Master Agreement. Provider shall (i) use Client Confidential Information solely for performance of the Services; (ii) limit access to such information to personnel with a need to know; and (iii) implement reasonable administrative, physical and technical safeguards to protect Confidential Information from unauthorized disclosure.

Confidentiality obligations survive termination or expiration of this Addendum for a period of five (5) years, except for trade secrets which shall be protected for so long as they remain trade secrets under applicable law. Exceptions to confidentiality obligations include information that is or becomes publicly available without breach, is independently developed by the receiving party, or is required to be disclosed by law subject to prior notice to the disclosing party where permitted.

Intellectual Property & Work Product

Ownership of pre-existing intellectual property of each party remains with that party. Work product specifically created for Client under this Addendum shall be owned by Client as set forth in the Master Agreement, subject to Provider's retained rights in general purpose tools and methodologies. Provider hereby assigns to Client all right, title and interest in deliverables to the extent required by the Master Agreement.

Audit and Compliance

Client retains audit rights to verify compliance with this Addendum and applicable data protection and security obligations. Such audits shall be conducted during normal business hours and with reasonable advance notice, and any corrective actions identified shall be addressed by Provider within agreed timeframes.

Indemnity and Limitations

The indemnity, limitation of liability and insurance provisions of the Master Agreement apply to Rightsourcing Services. To the extent additional indemnities or insurance are required for certain locations or activities, such requirements will be set forth in an executed Statement of Work or amendment.

Governing Law

This Addendum shall be governed by and construed in accordance with the laws of without regard to choice-of-law principles that would apply the laws of another jurisdiction.

Entire Agreement

This Addendum, together with the Master Agreement and any incorporated Statements of Work, constitutes the entire agreement between the parties with respect to the Rightsourcing Services and supersedes all prior and contemporaneous agreements, proposals, and communications, whether written or oral, relating to the subject matter hereof. In the event of any conflict between this Addendum and the Master Agreement, the terms of this Addendum shall govern with respect to Rightsourcing Services.

Amendments

No amendment to this Addendum shall be effective unless executed in writing by authorized representatives of both parties. Any changes to the scope, pricing or delivery locations that materially affect costs or timelines shall be documented in a signed change order or amendment.

Notices

Notice Recipient for Client Notice Address for Client Notice Recipient for Provider Notice Address for Provider

Additional Provisions

Special Conditions or Exceptions

The parties acknowledge that this Addendum is executed by authorized representatives and that performance under this Addendum will be coordinated through designated program managers for each party.

Client Printed Name:

By:

Date:

Provider Printed Name:

By:

Date:

What the Rightsourcing Services Addendum Is and When It Applies

The Rightsourcing Services Addendum is a contract attachment that defines allocation of rights, responsibilities, and deliverables when services are shifted between internal teams and external providers. It clarifies scope, intellectual property ownership, data handling, performance metrics, subcontracting permissions, and termination consequences. Organizations use this addendum to preserve existing master agreement terms while documenting a discrete sourcing change, such as partial outsourcing, vendor augmentation, or insourcing work repatriation. The addendum is typically executed alongside the governing services agreement and becomes effective on the date signed by authorized parties.

Why a Rightsourcing Services Addendum Matters

A clear addendum reduces ambiguity about ownership, data controls, and service boundaries, lowering dispute risk and accelerating operational handoffs. It provides a focused, contract-level record for audit, regulatory review, and downstream invoicing, while avoiding wholesale renegotiation of the primary services agreement.

Who Typically Prepares and Signs This Addendum

Organizations use this addendum when reassigning work across internal teams or to third-party providers; several roles participate in preparation and approval.

Procurement and sourcing teams, who define vendor scope, cost allocation, and compliance requirements for the rights transfer or service change.
Legal counsel, who review intellectual property transfer language, liability allocation, and termination provisions to ensure enforceability.
Operational managers and IT/security leads, who confirm technical handover plans, data access controls, and continuity measures.

Final signatures normally come from authorized contracting officers, procurement directors, or delegated signatories identified in the master agreement.

Core Elements to Include in a Professional Addendum

A concise addendum should address primary commercial and legal items so the sourcing change is operationally executable and legally enforceable.

Scope

Precisely describe tasks, deliverables, locations, and excluded services to avoid scope creep and disputes during transition and steady-state.

IP Ownership

State who owns newly created intellectual property and whether licenses are granted back to the original party, including derivative works and background IP carve-outs.

Data Handling

Define data classification, storage location, permitted processing, breach notification timelines, and any HIPAA or other regulatory safeguards required.

Performance

Include measurable service levels, reporting cadence, acceptance criteria, and remedies for missed targets or corrective action plans.

Subcontracting

List permitted subcontractors, approval process, flow-down obligations, and liability allocation for third-party performance failures.

Term & Termination

Specify effective date, duration, renewal mechanics, termination triggers, transition assistance, and post-termination data return or destruction requirements.

Essential Data Fields to Capture

Parties: Full legal names

Effective Date: MM/DD/YYYY

Scope ID: Reference to master SOW

Services: Task summary

Compensation: Fee schedule

Signatures: Authorized signatories

Step-by-Step: How to Complete and Execute the Addendum

Follow these sequential steps to prepare, approve, and execute the Rightsourcing Services Addendum with minimal delay.

01

Draft: Populate fields and map to master agreement.
02

Internal Review: Obtain procurement, legal, and security clearance.
03

Sign-off: Secure authorized signatures and record delegation.
04

Distribute: Share fully executed copies to stakeholders.

Configuring an Online Rightsourcing Workflow

Typical online workflows map document roles, authentication, and routing rules before issuance to signers.

Field	Configuration
Signer Roles	Primary signer \| Counterparty \| Witness
Authentication	Email link \| SMS OTP \| KBA (if required)
Routing	Sequential or parallel signer order
Retention	Automatic storage in contract repository

Where to Send or File the Executed Addendum

After execution, route the addendum to contract management, procurement, and the operational owner to enable the sourcing change.

Contract Repository: Store executed PDF with master agreement reference
Procurement File: Attach to vendor record for billing
IT/Security: Update access lists and data flows
Operational Owner: Distribute transition plan and RACI

Digital Signing and Distribution Practical Requirements

Choose an eSignature and document management approach that meets authentication, audit, and storage needs for rights transfers.

File Formats: PDF and DOCX supported
Integrations: Salesforce, NetSuite, Microsoft 365
Security: TLS and AES-256 encryption

Typical Timelines and Processing Expectations

Rightsourcing addenda often follow a predictable approval timeline; set internal SLA expectations to avoid project delays.

Drafting Period:

1–5 business days depending on complexity

Internal Review:

3–10 business days for legal and procurement review

Counterparty Review:

5–15 business days typical for negotiation

Execution Window:

Signers typically should countersign within 14 days

Implementation Start:

Transition begins on effective date or agreed handover date

Common Preparation Errors to Avoid

Vague scope language that leaves deliverables or responsibilities undefined, causing disputes during transition.
Omitting data jurisdiction or transfer clauses, which can create compliance gaps for regulated data.
Failing to secure delegated signature authority, resulting in unenforceable or delayed approvals.
Not coordinating transition steps with IT and security teams, causing access or continuity failures at cutover.

Material Risks and Consequences of a Faulty Addendum

Breach Liability: Contract damages exposure

Regulatory Risk: HIPAA or data fines

IP Disputes: Loss of ownership rights

Operational Disruption: Service outages or delays

Financial Penalties: Payment disputes or penalties

Reputational Harm: Customer or partner distrust

eSignature Pricing Snapshot for Rightsourcing Execution

Cost and compliance capabilities vary across providers; signNow is listed first for direct feature comparison without a dated data stamp.

	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	Varies by plan	Varies by plan	Varies by plan	Varies by plan
Bulk Send	Yes	Yes	Yes	Yes	Yes
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes	Yes	Yes	No	No
Envelope Cap	No cap	100 envelopes/user/year	Varies	Varies	Varies

Frequently Asked Questions About the Addendum

Answers to common execution, enforceability, and compliance questions related to Rightsourcing Services Addenda.

Need help? Contact support

Can this addendum be signed electronically?
Yes. Electronic signatures are enforceable under the ESIGN Act (15 U.S.C. §7001) and UETA where adopted, provided intent, consent, attribution, and record retention are met.
Is notarization required to make it valid?
Generally no for standard commercial contracts, though specific states or transaction types may require notarization; verify state rules and stakeholder requirements before execution.
Do I need a Business Associate Addendum (BAA)?
If the addendum permits access to protected health information, a BAA is required under HIPAA; the addendum should reference the BAA and applicable safeguards.
What happens if parties use different master agreement versions?
Identify and cite the exact master agreement version in the addendum. Conflicting versions can create ambiguity; resolve inconsistencies before signing.
How soon should transition tasks begin after signature?
Begin according to the effective date in the addendum. Include a handover schedule with milestones to avoid premature or delayed access changes.
How long must executed addenda be retained?
Retain executed addenda per applicable federal standards (IRS: 3 years, IRC §6501(a)) and industry rules such as HIPAA (6 years, 45 CFR §164.530(j)); state rules may require longer retention.

be ready to get more

Join over 28 million airSlate SignNow users

Sign Now