This Business Process Outsourcing Agreement template is designed for use in New Zealand business contexts where an organization seeks to outsource specific business functions to a specialized service provider. The agreement encompasses comprehensive provisions for service delivery, performance measurement, data protection, and risk allocation, while ensuring compliance with New Zealand's legal framework, including privacy laws and commercial regulations. It is particularly suitable for medium to long-term outsourcing arrangements where clear governance, service levels, and operational procedures need to be established. The document includes detailed schedules for service specifications, pricing, and operational procedures, making it adaptable to various business processes while maintaining consistency with New Zealand's legal requirements and commercial practices.
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1. Parties: Identifies and provides full legal details of the contracting parties
2. Background: Sets out the context and commercial purpose of the agreement
3. Definitions: Defines key terms used throughout the agreement
4. Scope of Services: Detailed description of the services to be provided and service boundaries
5. Term and Renewal: Duration of the agreement and renewal provisions
6. Service Provider's Obligations: Key responsibilities and commitments of the service provider
7. Customer's Obligations: Key responsibilities and commitments of the customer
8. Service Levels: Performance standards and metrics for service delivery
9. Charges and Payment: Pricing, payment terms, and invoicing procedures
10. Data Protection and Privacy: Obligations regarding data handling, security, and privacy compliance
11. Intellectual Property Rights: Ownership and usage rights of IP created or used in service delivery
12. Confidentiality: Protection and handling of confidential information
13. Personnel and Key Staff: Requirements regarding staff, including key personnel provisions
14. Governance and Reporting: Management structure, meetings, and reporting requirements
15. Liability and Indemnities: Risk allocation between parties and liability limitations
16. Force Majeure: Provisions for handling events beyond parties' reasonable control
17. Termination: Grounds and process for agreement termination
18. Exit Management: Process for service transition upon termination
19. Dispute Resolution: Process for resolving disputes between parties
20. General Provisions: Standard boilerplate clauses including notices, amendment process, and governing law
1. Change Control: Formal process for managing changes to services or agreement terms - include when significant changes are anticipated
2. Business Continuity: Disaster recovery and business continuity requirements - include for critical business processes
3. Regulatory Compliance: Specific regulatory obligations - include for regulated industries
4. Environmental Requirements: Environmental standards and commitments - include if environmentally sensitive
5. Insurance: Specific insurance requirements - include for high-risk services
6. Anti-Bribery and Corruption: Anti-corruption provisions - include for international services
7. Parent Company Guarantee: Guarantee from service provider's parent company - include for financial security
8. Benchmarking: Process for comparing services against market standards - include for long-term contracts
9. Step-In Rights: Customer's right to take over services - include for critical business functions
10. Security Requirements: Detailed security obligations - include for sensitive data handling
1. Schedule 1 - Services Description: Detailed specification of services to be provided
2. Schedule 2 - Service Levels and KPIs: Detailed performance metrics, measurement methods, and penalties
3. Schedule 3 - Charges: Detailed pricing, payment structure, and rate cards
4. Schedule 4 - Customer Dependencies: Detailed customer obligations and requirements
5. Schedule 5 - Governance and Reporting: Detailed governance structure, meeting schedule, and report formats
6. Schedule 6 - Personnel: Key personnel, qualifications, and staffing requirements
7. Schedule 7 - Security Requirements: Detailed security protocols and requirements
8. Schedule 8 - Exit Plan: Detailed transition-out process and requirements
9. Schedule 9 - Business Continuity Plan: Detailed disaster recovery and business continuity procedures
10. Schedule 10 - Data Processing Agreement: Detailed data protection and privacy requirements
11. Appendix A - Approved Subcontractors: List of approved subcontractors and their roles
12. Appendix B - Form of Change Request: Template for requesting and documenting changes
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