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Term Service Agreement

Term Service Agreement Template for New Zealand

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Key Requirements PROMPT example:

Term Service Agreement

"I need a Term Service Agreement for an IT consulting company providing cybersecurity services to a financial institution in New Zealand, with strict data protection requirements and service level agreements for incident response times."

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Document background
The Term Service Agreement is a fundamental commercial contract used in New Zealand business operations where one party agrees to provide ongoing services to another over a defined period. This document type is essential when establishing long-term service relationships that require detailed service levels, performance metrics, and clear operational parameters. It is particularly relevant for businesses seeking to formalize service arrangements while ensuring compliance with New Zealand legal requirements, including the Contract and Commercial Law Act 2017, Fair Trading Act, and Privacy Act. The agreement typically includes comprehensive provisions for service delivery, performance standards, payment terms, liability allocation, and termination rights, making it suitable for both straightforward and complex service arrangements across various industries.
Suggested Sections

1. Parties: Identifies and provides full legal details of all parties to the agreement

2. Background: Sets out the context and purpose of the agreement, including any relevant history or relationships

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

4. Term and Renewal: Specifies the initial term of the agreement and any renewal provisions

5. Services: Describes the core services to be provided, including scope and delivery requirements

6. Service Levels: Establishes the required standards and performance metrics for service delivery

7. Fees and Payment: Details the fee structure, payment terms, and invoicing procedures

8. GST and Taxes: Addresses GST requirements and tax responsibilities

9. Obligations of Service Provider: Lists the key responsibilities and commitments of the service provider

10. Obligations of Customer: Outlines the customer's responsibilities and requirements

11. Intellectual Property: Addresses ownership and usage rights of intellectual property

12. Confidentiality: Sets out obligations regarding confidential information

13. Privacy and Data Protection: Establishes requirements for handling personal information in compliance with the Privacy Act 2020

14. Liability and Indemnities: Defines liability limitations and indemnification obligations

15. Termination: Specifies termination rights, process, and consequences

16. General: Contains standard boilerplate provisions including notices, assignment, and governing law

Optional Sections

1. Change Control: Include when services may need to evolve or change during the term

2. Business Continuity: Include for critical services requiring disaster recovery and business continuity planning

3. Security Requirements: Include when services involve IT systems or sensitive data

4. Audit Rights: Include when compliance verification or performance monitoring is required

5. Insurance: Include when specific insurance coverage requirements are needed

6. Personnel: Include when specific staff qualifications or vetting is required

7. Transition Services: Include when complex service handover is required at start or end of term

8. Force Majeure: Include when protection against unforeseen events is required

9. Anti-Bribery and Corruption: Include for high-value contracts or when dealing with public sector

10. Health and Safety: Include when services involve on-site work or physical risks

Suggested Schedules

1. Schedule 1 - Service Description: Detailed description of services, including specifications and methodologies

2. Schedule 2 - Service Levels and KPIs: Detailed performance metrics, measurement methods, and reporting requirements

3. Schedule 3 - Fees and Charges: Detailed pricing structure, rates, and payment terms

4. Schedule 4 - Key Personnel: Details of key staff members and their roles

5. Schedule 5 - Implementation Plan: Timeline and milestones for service implementation

6. Schedule 6 - Technical Requirements: Technical specifications and requirements for service delivery

7. Schedule 7 - Security Standards: Detailed security requirements and compliance standards

8. Appendix A - Form of Change Request: Template for requesting and documenting service changes

9. Appendix B - Service Reports: Templates and requirements for service reporting

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈË°æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co
Relevant legal definitions


















































Clauses










































Relevant Industries

Information Technology

Professional Services

Facilities Management

Business Process Outsourcing

Healthcare Services

Education and Training

Maintenance Services

Consulting Services

Telecommunications

Financial Services

Legal Services

Marketing Services

Engineering Services

Software as a Service

Property Management

Relevant Teams

Legal

Procurement

Operations

Commercial

Risk and Compliance

Finance

Business Development

Service Delivery

Account Management

Project Management

Relevant Roles

Commercial Manager

Procurement Manager

Contract Manager

Legal Counsel

Operations Manager

Business Development Manager

Service Delivery Manager

Account Manager

Risk Manager

Compliance Officer

Project Manager

Chief Operating Officer

General Counsel

Facilities Manager

Vendor Manager

Industries







Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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