The Service License Agreement (SLA) is a critical document used to establish and maintain clear service expectations and performance standards between service providers and their customers in Malaysia. This agreement type is particularly relevant when providing ongoing services that require specific performance metrics, quality standards, and service level commitments. The SLA encompasses essential elements such as service definitions, performance metrics, support levels, and remedies for service failures, all while ensuring compliance with Malaysian legal requirements including the Contracts Act 1950, Personal Data Protection Act 2010, and other relevant legislation. It is commonly used in technology services, managed services, professional services, and other sectors where service quality and performance measurement are crucial to the business relationship.
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1. Parties: Identification and details of the service provider and customer
2. Background: Context of the agreement and brief description of the services to be provided
3. Definitions: Detailed definitions of terms used throughout the agreement
4. Service Description: Comprehensive description of the services to be provided
5. Service Levels: Specific performance metrics and service level requirements
6. Performance Monitoring: Methods and procedures for monitoring service performance
7. Support and Maintenance: Details of support services and maintenance obligations
8. Customer Obligations: Responsibilities and obligations of the customer
9. Fees and Payment: Pricing, payment terms, and billing procedures
10. Term and Termination: Duration of agreement and termination conditions
11. Data Protection and Security: Data handling, privacy, and security requirements
12. Intellectual Property Rights: IP ownership and licensing terms
13. Confidentiality: Protection of confidential information
14. Limitation of Liability: Liability caps and exclusions
15. Force Majeure: Provisions for unforeseen circumstances
16. Governing Law: Application of Malaysian law and jurisdiction
17. General Provisions: Miscellaneous legal provisions including notices, assignment, and entire agreement
1. Change Management: Procedures for managing changes to services or service levels - include for complex or long-term service arrangements
2. Disaster Recovery: Disaster recovery and business continuity procedures - include for critical services
3. Compliance Requirements: Industry-specific compliance obligations - include for regulated industries
4. Personnel Requirements: Specific staffing or qualification requirements - include when service delivery depends on specific expertise
5. Service Credits: Financial compensation mechanism for service level failures - include for high-value or critical services
6. Audit Rights: Customer's right to audit service provider - include for regulated industries or critical services
7. Insurance Requirements: Specific insurance coverage requirements - include for high-risk services
8. Exit Management: Detailed exit and transition arrangements - include for complex services or where business continuity is critical
1. Service Level Specifications: Detailed technical specifications of service levels and performance metrics
2. Pricing Schedule: Detailed breakdown of fees, charges, and payment terms
3. Support Procedures: Detailed procedures for support services and escalation processes
4. Technical Requirements: Technical specifications and requirements for service delivery
5. Security Requirements: Detailed security protocols and requirements
6. Data Processing Agreement: Specific terms for personal data processing under Malaysian law
7. Business Continuity Plan: Detailed procedures for ensuring service continuity
8. Contact Details: Key contacts and escalation matrix for both parties
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