Development Service Agreement Template for Philippines

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Key Requirements PROMPT example:

Development Service Agreement

"I need a Development Service Agreement for a mobile banking app project where my company will be hiring a local Philippine software development firm for a 12-month project starting March 2025, with strict data privacy requirements and source code ownership provisions."

Document background
The Development Service Agreement is a crucial contract used in the Philippines when engaging external developers or development companies for software, system, or other technical development projects. This agreement is essential for businesses seeking to outsource development work while maintaining legal compliance with Philippine regulations. The document addresses key aspects such as project scope, intellectual property rights, data protection, service levels, and payment terms, while incorporating specific requirements of Philippine law including the Civil Code, Labor Code, and Data Privacy Act. It's particularly relevant given the Philippines' growing technology sector and increasing number of development service providers, offering protection for both service providers and clients while ensuring clear project deliverables and expectations.
Suggested Sections

1. Parties: Identifies and provides details of the contracting parties

2. Background: Provides context and purpose of the agreement

3. Definitions: Defines key terms used throughout the agreement

4. Scope of Services: Details the development services to be provided

5. Project Timeline and Deliverables: Specifies project phases, milestones, and deliverables

6. Payment Terms: Details fees, payment schedule, and payment methods

7. Intellectual Property Rights: Addresses ownership and licensing of developed IP

8. Confidentiality: Covers protection of confidential information

9. Data Privacy and Protection: Ensures compliance with Philippine Data Privacy Act

10. Warranties and Representations: States guarantees made by each party

11. Limitation of Liability: Sets boundaries for party liabilities

12. Term and Termination: Specifies duration and termination conditions

13. Force Majeure: Addresses unforeseen circumstances preventing performance

14. Dispute Resolution: Outlines process for resolving disagreements

15. General Provisions: Includes standard boilerplate clauses

Optional Sections

1. Source Code Escrow: Optional section for source code protection, used when critical applications are being developed

2. Service Level Agreement: Used when ongoing maintenance or support is part of the development services

3. Change Management: Include when project scope might need flexibility for changes

4. Security Requirements: Required for projects involving sensitive data or systems

5. Training and Knowledge Transfer: Include when client staff need training on developed systems

6. Third-Party Components: Used when third-party software or services are part of the solution

7. Export Control: Required for international projects or technology transfer

8. Insurance Requirements: Include for high-value or high-risk projects

Suggested Schedules

1. Schedule A - Scope of Work: Detailed technical specifications and requirements

2. Schedule B - Project Timeline: Detailed project schedule, milestones, and delivery dates

3. Schedule C - Fee Schedule: Detailed breakdown of fees, rates, and payment milestones

4. Schedule D - Service Levels: Performance metrics and service level requirements

5. Schedule E - Technical Requirements: Specific technical standards and requirements

6. Schedule F - Testing and Acceptance Criteria: Detailed acceptance testing procedures and criteria

7. Schedule G - Personnel: Key personnel and their roles/responsibilities

8. Appendix 1 - Change Request Template: Standard form for requesting changes to scope

9. Appendix 2 - Progress Report Template: Standard format for progress reporting

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
Relevant Industries

Information Technology

Software Development

Financial Services

E-commerce

Healthcare

Education

Manufacturing

Telecommunications

Real Estate

Professional Services

Media and Entertainment

Retail

Government and Public Sector

Relevant Teams

Legal

Information Technology

Procurement

Software Development

Operations

Risk and Compliance

Project Management Office

Vendor Management

Contract Administration

Technical Operations

Relevant Roles

Chief Technology Officer

Legal Counsel

Project Manager

Contract Manager

Procurement Manager

IT Director

Software Development Manager

Business Development Manager

Operations Director

Technical Program Manager

Vendor Manager

Chief Information Officer

Head of Engineering

Legal Operations Manager

Risk Manager

Industries
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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