SLA Agreement Template for England and Wales

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Key Requirements PROMPT example:

SLA Agreement

"I need an SLA Agreement for my cloud hosting services company based in London, covering 24/7 support services with 99.9% uptime guarantee and specific response times for different severity levels, to be effective from March 2025."

Document background
An SLA Agreement is essential when organizations need to establish clear, measurable standards for service delivery. Under English and Welsh law, this document sets out specific performance metrics, monitoring mechanisms, and consequences for service failures. It's particularly crucial for technology services, outsourcing arrangements, and professional services where service quality and reliability are paramount. The agreement typically includes detailed service descriptions, performance standards, measurement methodologies, and remedial actions, providing both parties with clear expectations and legal protections.
Suggested Sections

1. Parties: Identification and details of the service provider and customer

2. Background: Context and purpose of the agreement

3. Definitions: Key terms used throughout the agreement

4. Services Description: Detailed description of services to be provided

5. Service Levels: Specific performance metrics and standards

6. Performance Monitoring: How service levels will be measured and reported

7. Service Credits: Compensation mechanism for service level failures

8. Term and Termination: Duration and conditions for ending the agreement

Optional Sections

1. Change Control: Process for managing changes to services - recommended for complex or long-term service arrangements

2. Disaster Recovery: Business continuity and recovery procedures - essential for critical services or regulated industries

3. Data Protection: Specific data handling and protection requirements - required when personal data is processed

4. Staff and Key Personnel: Requirements for service delivery team - important when specific expertise or personnel are critical

Suggested Schedules

1. Service Description Schedule: Detailed technical specifications of services

2. Service Level Metrics Schedule: Detailed performance metrics and measurement methods

3. Pricing and Payment Schedule: Detailed pricing, payment terms and service credits

4. Governance Schedule: Service management and reporting procedures

5. Exit Plan: Procedures for service termination and transition

Authors

Alex Denne

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

Relevant legal definitions
Clauses
Industries

Contracts (Rights of Third Parties) Act 1999: Primary legislation governing how third parties may enforce terms of a contract, relevant for determining if non-parties to the SLA can enforce its terms

Consumer Rights Act 2015: Legislation protecting consumer rights in service agreements, applicable if the SLA involves B2C services

Supply of Goods and Services Act 1982: Sets out implied terms in contracts for the supply of services, including that services must be carried out with reasonable care and skill

Data Protection Act 2018 and UK GDPR: Legislation governing the processing of personal data, must be considered if the services involve handling personal information

Competition Act 1998: Ensures fair competition and prevents anti-competitive practices in service agreements

Enterprise Act 2002: Provides framework for competition law and consumer protection, relevant for business-focused SLAs

European Union (Withdrawal) Act 2018: Post-Brexit legislation affecting how EU-derived laws apply in the UK, important for cross-border services

Network and Information Systems Regulations 2018: Specific regulations for IT service providers regarding network and information security

Financial Services and Markets Act 2000: Regulatory framework for financial services, must be considered if SLA involves financial services

Communications Act 2003: Regulatory framework for telecommunications services, relevant if SLA involves telecom services

TUPE Regulations 2006: Protects employees' rights when service provision changes, relevant if SLA involves staff transfers

Unfair Contract Terms Act 1977: Regulates unfair terms in contracts, particularly important for limitation of liability clauses in SLAs

Electronic Communications Act 2000: Governs the use of electronic signatures and electronic communications in contracts

Modern Slavery Act 2015: Requires large organizations to ensure their supply chains are free from slavery and human trafficking

ICO Guidelines: Information Commissioner's Office guidance on data protection and privacy requirements

FCA Guidelines: Financial Conduct Authority regulatory guidance for financial services SLAs

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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