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A maintenance agreement (contract), sometimes called a service agreement (contract), is an agreement which requires specific performance of repairing, cleaning, altering, or improving tangible personal property on a regular or irregular basis to ensure the product's continued satisfactory operation.
By Practical Law Commercial. A B2B agreement in which the supplier agrees to provide a maintenance and support service for equipment. The agreement is drafted to be broadly neutral between the parties. To access this resource, sign in below or register for a free, no-obligation trial.
However, it is important to ensure that the price charged covers the cost of labor, as well as provides a reasonable profit margin. The cost of equipment required for maintenance should also be considered when pricing a maintenance contract. This includes tools, spare parts, and other materials.
The contract should clarify the type of maintenance you need, whether it's on-demand, preventive, or condition based, for example. For the scope of the work, expect to see a clear outline of the services the provider is going to perform, making sure to describe the jobs explicitly to avoid any ambiguity in the future.
How to Create a Planned Maintenance Contract Full name and details of service provider and client. The type of maintenance. A disclosed scope of work. A service schedule. Payment terms. Warranties and guarantees. Information regarding legal disputes. Details on contract termination.