Cost Fixed Fee Contract Template for India

The Cost Fixed Fee Contract is a specialized agreement designed for situations where services are provided for a pre-determined, fixed fee rather than on a time-and-materials or cost-plus basis. This contract type is particularly suitable for projects with well-defined scope and deliverables in the Indian market, where price certainty is a priority for both parties. It is structured to comply with Indian contract law and includes essential elements such as GST considerations, local dispute resolution mechanisms, and statutory compliance requirements. The document is commonly used in professional services, construction, and technology sectors, providing a framework for service delivery while managing risk through clear scope definition and change control procedures. This type of agreement is especially relevant in the Indian business environment where fixed-price arrangements are often preferred for budgeting and financial planning purposes.

1. Parties: Identification and details of the contracting parties

2. Background: Context of the agreement and brief description of the parties' intentions

3. Definitions: Definitions of key terms used throughout the agreement

4. Scope of Services: Detailed description of the services to be provided under the fixed fee arrangement

5. Contract Price and Payment Terms: Fixed fee amount, payment schedule, and invoicing requirements

6. Duration and Timelines: Contract period, key milestones, and delivery schedules

7. Obligations of Service Provider: Specific responsibilities and commitments of the service provider

8. Client Obligations: Responsibilities and commitments of the client

9. Change Management: Process for handling changes to scope and their impact on the fixed fee

10. Quality Standards: Required quality levels and standards to be maintained

11. Acceptance Criteria: Criteria and process for accepting deliverables

12. Warranties and Representations: Warranties provided by both parties

13. Intellectual Property Rights: Ownership and rights related to project deliverables and pre-existing IP

14. Confidentiality: Protection of confidential information and trade secrets

15. Limitation of Liability: Caps on liability and exclusions

16. Termination: Grounds and process for contract termination

17. Dispute Resolution: Process for resolving disputes including arbitration provisions

18. General Provisions: Standard boilerplate clauses including notices, entire agreement, etc.