Framework Agreements

Purpose

A Framework Agreement provides the master commercial and legal structure for a customer relationship.

It allows multiple Statements of Work to be agreed under one consistent contractual framework.

What the Framework Agreement Controls

The Framework Agreement should define:

• parties

• term

• ordering process

• Statement of Work mechanism

• payment terms

• confidentiality

• intellectual property

• liability

• warranties

• data protection

• security obligations

• audit rights

• termination

• dispute resolution

• governance

• change control principles

What the Framework Agreement Does Not Do

The Framework Agreement should not normally define detailed delivery scope.

Detailed delivery commitments should sit in the Statement of Work.

Operating Rule

A Framework Agreement creates the rules of engagement.

A Statement of Work creates the obligation to deliver specific work.