SOFTWARE DEVELOPMENT & MAINTENANCE AGREEMENT

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What is included

Software Development & Maintenance Agreements occurs when a client hires a consultant, either an individual or a company, to create software specifically for their use.  There are two main aspects to this transaction: the consultancy and the software development.

The consultancy is no different from consultancy in other types of expert services and the precedents relating to consultancy agreements can be used.

The development of software involves the creation of intellectual property to order. The software development agreement handles all aspects of the process from the definition and specification of the client’s specifications through development and testing to delivery of the end product.  The scope of service to be supplied by the developer and ownership of the new intellectual property created are precisely defined in the agreements.

A detailed Software Development & Maintenance Agreement for the development of custom software. This agreement covers

  • definitions ,
  • specification of the software,
  • steps in production,
  • payment,
  • production milestones and
  • testing,
  • project plan,
  • milestones,
  • interim payments
  • A portion of payments are withheld for a warranty period.
  • 4 Schedules containing particulars

A complex Software Development & Maintenance Agreement running that seeks to control and monitor as many variables as possible in this type of project.

This software & maintenance agreement is 21 pages long.

Includes GST

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Software Development & Maintenance Agreement
What is it?

A Software Development and Maintenance Agreement is a comprehensive, legally binding contract that combines both the development of custom software and its subsequent maintenance and support services. This type of agreement outlines the terms and conditions under which the software developer (or development company) will design, develop, deliver, and maintain the software for the client. It ensures clarity and mutual understanding between the parties regarding their responsibilities, timelines, costs, and other critical aspects of the software development and maintenance process.

Key Elements

Key Elements of a Software Development and Maintenance Agreement

  1. Parties Involved:

    • Identification of the client and the software developer, including their legal names and contact information.
  2. Scope of Work:

    • Detailed description of the software to be developed, including functionalities, features, and technical requirements.
    • Description of the maintenance services to be provided after the software is delivered.
  3. Deliverables:

    • A list of specific deliverables for both the development and maintenance phases, such as source code, documentation, user manuals, updates, and bug fixes.
  4. Development Timeline:

    • A schedule outlining key milestones, deadlines, and the overall timeline for the development project.
  5. Payment Terms:

    • The total cost of the project, payment schedule (e.g., upfront payment, milestone-based payments, final payment), and any additional costs that may be incurred for maintenance services.
  6. Change Requests:

    • Procedures for handling any changes or modifications to the initial project scope, including how changes will be documented, approved, and any impact on cost and timelines.
  7. Acceptance Testing:

    • Criteria and procedures for the client to test and accept the software upon delivery.
  8. Maintenance and Support:

    • Terms outlining the maintenance and support services, including the duration, scope, and cost of such services.
    • Service level agreements (SLAs) specifying response times, resolution times, and availability of support services.
  9. Intellectual Property Rights:

    • Provisions specifying the ownership of intellectual property rights, including source code, documentation, and any other materials created during the project.
  10. Confidentiality:

    • Clauses ensuring that both parties will keep confidential information and proprietary materials secure and not disclose them to third parties.
  11. Warranties and Liabilities:

    • Warranties provided by the developer regarding the quality and functionality of the software, and limitations on liabilities for both parties.
  12. Termination:

    • Conditions under which the agreement can be terminated by either party, including notice periods and any obligations upon termination.
  13. Dispute Resolution:

    • Procedures for resolving any disputes that may arise during the project, such as mediation or arbitration.
  14. Governing Law:

    • The legal jurisdiction governing the agreement.
  15. Signatures:

    • Signatures of both parties, indicating their agreement to the terms and conditions outlined in the document.
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