Details that need to be included on a Master Service Agreement
To obtain a well-drafted master service agreement, there are a few details that need to be mentioned in the agreement. Here is a list of the details that has to be mentioned.
The service provider has to ensure that all the data provided by the customer is kept confidential. If the court requests the seller to uncover private data, the service provider will inform the customer and allow the customer to provide a defensive statement to the court.
- Payment terms
The service providers and the customers usually negotiate on the terms related to payment. The instalment completely relies on the dealing power of the customer. Some customers can even prolong this for a span of 6 months.
- The term mentioned in the master service agreement
This demonstrates a term during which both the parties will be in contract with each other. In most cases, both the parties forget about the term of agreement and only concentrate on the policies of work. They continue doing the tasks they are entitled to even after the master service agreement expires.
- Impediment of liability
An impediment of obligation agreement is usually demanded from the customer who confines the capacity to take up huge damages from the seller if it wins a judgement in litigation.
A master service agreement also includes details which state when the instalment obligations begin. The service provider requires this detail to start the commitment towards the work.