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Contract Framework Agreement Template for England and Wales

A Contract Framework Agreement is a master agreement that establishes the fundamental terms and conditions governing future contracts or purchase orders between parties. Governed by English and Welsh law, it provides a structured approach to managing ongoing commercial relationships, setting out standardized terms for subsequent transactions while allowing flexibility for specific requirements in individual call-off contracts. The agreement typically includes pricing mechanisms, ordering procedures, and quality standards, reducing the need for repeated negotiations.

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What is a Contract Framework Agreement?

Contract Framework Agreements are essential tools for businesses engaging in repeated transactions or long-term commercial relationships. These agreements, governed by English and Welsh law, streamline procurement processes by establishing standard terms while maintaining flexibility for specific requirements. They are particularly valuable when organizations need to make multiple purchases over time without negotiating new terms for each transaction. The framework sets out key commercial and legal provisions, including pricing structures, service levels, and risk allocation, while enabling efficient execution of individual orders through call-off contracts.

What sections should be included in a Contract Framework Agreement?

1. Parties: Identifies and defines all parties to the agreement with full legal names and addresses

2. Background/Recitals: Sets out the context and purpose of the framework agreement

3. Definitions and Interpretation: Defines key terms and establishes interpretation rules for the agreement

4. Framework Structure: Explains how the framework operates, including call-off procedures

5. Duration and Term: Specifies the initial term and any extension provisions

6. Ordering Process: Details the process for placing and accepting orders under the framework

7. Pricing and Payment: Sets out pricing structure, payment terms, and invoicing procedures

8. Obligations and Warranties: Lists core obligations of all parties and standard warranties

9. Termination: Specifies termination rights and procedures

10. Governing Law and Jurisdiction: Confirms applicable law and jurisdiction for disputes

What sections are optional to include in a Contract Framework Agreement?

1. Service Levels: Defines performance standards and metrics for service delivery

2. Change Control: Procedure for making changes to the agreement or underlying services/goods

3. Data Protection: GDPR and data protection compliance requirements and procedures

4. Insurance: Specific insurance requirements and coverage obligations

5. Intellectual Property: IP rights, ownership, and licensing arrangements

What schedules should be included in a Contract Framework Agreement?

1. Services/Goods Schedule: Detailed description of services or goods covered under the framework

2. Pricing Schedule: Detailed pricing structure, rates, and any volume discounts

3. Service Levels Schedule: Detailed performance metrics, measurement methods, and reporting requirements

4. Form of Call-off Contract: Template contract for individual orders under the framework

5. Change Control Procedure: Detailed process for implementing changes to the agreement or services

6. Key Personnel Schedule: List of key staff, their roles, and replacement procedures

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

England and Wales

Document Type

Framework Agreement

Cost

Free to use

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