Software Support Agreement
Agreement made on the _________________ (date) , between ______________
___________________ (Name of Provider of Software Maintenance) , a corporation
organized and existing under the laws of the state of ________________, with its
principal office located at _________________________________________________
______________________ (street address, city, state, zip code) , referred to herein
as Contractor , and ____________________ (Name of Customer) , a corporation
organized and existing under the laws of the state of ______________, with its principal
office located at _________________________________________________________
__________________ (street address, city, state, zip code) , referred to herein as
Customer .
Whereas, Customer desires to retain Contractor as an independent contractor to
provide the computer software maintenance services for its ______________________
(Name of Computer System) , hereinafter called System ; and
Whereas, Contractor agrees to perform these services for Customer under the
terms and conditions set forth in this Agreement;
Now, therefore, for and in consideration of the mutual covenants contained in this
Contract, and other good and valuable consideration, the receipt and sufficiency of
which is hereby acknowledged, the parties agree as follows:
1. Maintenance of Software
Beginning on the day of the execution of this Agreement the Contractor shall
provide the following error-correction and support services:
A. Telephone hot-line support during the Contractor's normal days and hours
of business operation with such support to include consultation on the operation
and utilization of the Software; and
B. Error correction services, consisting of the Contractor using all reasonable
efforts to design, code and implement programming changes to the Software,
and modifications to the documentation, and to correct reproducible errors
therein so that the Software is brought into substantial conformance with the way
it should operate.
C. The response times for correcting errors are as follows:
1. Level One Response: When a major fault occurs such that a
business critical function is not operational and major user inconvenience
is being caused, Contractor shall respond within four hours of notification.
2. Level Two Response: When a fault occurs such that a function is
not operational but a workaround is available and is causing significant
user inconvenience, Contractor shall respond within one day of
notification.
3. Level Three Response : When a fault occurs such that a non-
critical function is not operational and is causing an inconvenient problem
but is not causing significant user inconvenience, Contractor shall respond
within three working days of notification.
4. Level Four Response : Where a fault occurs such that a cosmetic,
non-urgent problem is being caused, e.g. a field is in the wrong position,
Contractor shall respond within five days of notification.
2. Compensation for Maintenance Services
The Customer shall pay the Contractor for error-correction and support services
the annual sum of $___________ payable in (e.g., monthly or annually)
__________________ in advance beginning on the day of the execution of this
Agreement.
3. Customer’s Role in Maintenance
The provision of the error correction and support services described above shall
be expressly contingent upon the Customer promptly reporting any errors in the
Software or related documentation to the Contractor and not modifying the Software
without the Contractor's written consent.
4. Term of Agreement. Subject to timely payment by the Customer of the
maintenance fees, the Contractor shall offer the maintenance described above for a
minimum of one year after completion of the development work under this Agreement.
5. Termination of Maintenance by Customer
Customer may discontinue the maintenance services described above upon not
less than _____ days' written notice to the Contractor.
6. Limitation of Contractor’s Liability to Customer
A. In no event shall the Contractor be liable to the Customer for lost profits of
the Customer, or special or consequential damages, even if the Contractor has
been advised of the possibility of such damages.
B. The Contractor's total liability under this Agreement for damages, costs
and expenses, regardless of cause, shall not exceed the total amount of fees
paid to the Contractor by the Customer under this Agreement.
7. Confidentiality
During the term of this Agreement and for one year afterward, the Contractor will
use reasonable care to prevent the unauthorized use or dissemination of the
Customer's confidential information. Reasonable care means at least the same degree
of care the Contractor uses to protect its own confidential information from unauthorized
disclosure. Confidential information is limited to information clearly marked as
confidential, or disclosed orally that is treated as confidential when disclosed and
summarized and identified as confidential in a writing delivered to the Contractor within
15 days of disclosure. Confidential information does not include information that:
the Contractor knew before the Customer disclosed it;
is or becomes public knowledge through no fault of the Contractor;
the Contractor obtains from sources other than the Customer who owe no duty
of confidentiality to the Customer, or
the Contractor independently develops.
8. Status as Independent Contractor
The parties intend that an independent contractor-employer relationship will be
created by this Contract. Customer is interested only in the results to be achieved, and
the conduct and control of the work will lie solely with Contractor . Contractor is not to be
considered an agent or employee of Customer for any purpose, and the employees of
Contractor are not entitled to any of the benefits that Customer provides for Customer's
employees. It is understood that Contractor is free to Contract for similar services to be
performed for other customers while under Contract with Customer.
9. Offers of Employment to Contractor’s Employment
Customer agrees that no offers of employment will be made to any employee of
the Contractor during the term of this Agreement or for a period of 12 months after its
termination without the prior consent of the Contractor. Should Customer breach this
provision, Customer shall pay Contractor liquidated damages in the amount of
$_____________.
10. Severability
The invalidity of any portion of this Agreement will not and shall not be deemed to
affect the validity of any other provision. If any provision of this Agreement is held to be
invalid, the parties agree that the remaining provisions shall be deemed to be in full
force and effect as if they had been executed by both parties subsequent to the
expungement of the invalid provision.
11. No Waiver
The failure of either party to this Agreement to insist upon the performance of any
of the terms and conditions of this Agreement, or the waiver of any breach of any of the
terms and conditions of this Agreement, shall not be construed as subsequently waiving
any such terms and conditions, but the same shall continue and remain in full force and
effect as if no such forbearance or waiver had occurred.
12. Governing Law
This Agreement shall be governed by, construed, and enforced in accordance
with the laws of the State of _____________.
13. Notices
Any notice provided for or concerning this Agreement shall be in writing and shall
be deemed sufficiently given when sent by certified or registered mail if sent to the
respective address of each party as set forth at the beginning of this Agreement.
14. Attorney’s Fees
In the event that any lawsuit is filed in relation to this Agreement, the
unsuccessful party in the action shall pay to the successful party, in addition to all the
sums that either party may be called on to pay, a reasonable sum for the successful
party's attorney fees.
15. Mandatory Arbitration
Any dispute under this Agreement shall be required to be resolved by binding
arbitration of the parties hereto. If the parties cannot agree on an arbitrator, each party
shall select one arbitrator and both arbitrators shall then select a third. The third
arbitrator so selected shall arbitrate said dispute. The arbitration shall be governed by
the rules of the American Arbitration Association then in force and effect.
16. Entire Agreement
This Agreement shall constitute the entire agreement between the parties and
any prior understanding or representation of any kind preceding the date of this
Agreement shall not be binding upon either party except to the extent incorporated in
this Agreement.
17. Modification of Agreement
Any modification of this Agreement or additional obligation assumed by either
party in connection with this Agreement shall be binding only if placed in writing and
signed by each party or an authorized representative of each party.
18. Assignment of Rights
The rights of each party under this Agreement are personal to that party and may
not be assigned or transferred to any other person, firm, corporation, or other entity
without the prior, express, and written consent of the other party.
19. Counterparts
For the convenience of the parties, this Agreement has been executed in several
counterparts, which are in all respects similar and each of which shall be deemed to be
complete in itself so that any one may be introduced in evidence or used for any other
purpose without the production of the other counterparts. Immediately following
endorsement of the consenting parties, counterparts will be furnished to the consenting
parties so that each may be advised of the rights, privileges, and benefits that this
Agreement confers.
20. In this Agreement, any reference to a party includes that party's heirs, executors,
administrators, successors and assigns, singular includes plural and masculine includes
feminine.
WITNESS our signatures as of the day and date first above stated.
_______________________ _________________________
(Name of Contractor) (Name of Customer)
By:____________________________ By:_______________________________
_________________________ _________________________
(P rinted name & Office in Corporation) (P rinted name & Office in Corporation
_________________________ _________________________
(Signature of Officer) (Signature of Officer)
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