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An Order Processing Agreement is essential for businesses operating in Canada that outsource or provide order processing services. This document is particularly relevant in today's digital commerce landscape, where efficient and compliant order processing is crucial for business operations. The agreement ensures compliance with Canadian federal legislation including PIPEDA, CASL, and provincial consumer protection laws, while establishing clear operational procedures and responsibilities. It is typically used when a company engages a third party to handle order processing, including activities such as order receipt, validation, fulfillment, and related data processing. The agreement addresses critical aspects such as data protection, service levels, security measures, and liability allocation, making it a fundamental document for businesses engaged in commercial transactions involving order processing services.
