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Service Level Agreement (SLA)

This Service Level Agreement (SLA) template is used to define the level of service expected from a service provider, outlining key metrics, responsibilities, and remedies for failing to meet agreed service levels. It is crucial for ensuring clarity and accountability between parties.

Updated 15d ago
SLAService Level AgreementService ContractAgreementProvider AgreementClient AgreementBusiness ContractLegal Document

Company Letterhead

{{company_name}}

{{company_address}}

Phone: {{phone}}

Email: {{email}}

Website: {{website}}

1. Parties to the Agreement

This Service Level Agreement ("Agreement") is made and entered into on this {{date}} day of {{month}}, {{year}}, by and between:

**{{service_provider_company_name}}** (hereinafter referred to as "Service Provider"), a company duly incorporated under the laws of {{country_of_incorporation}}, with its registered office located at {{service_provider_address}}.

AND

**{{client_company_name}}** (hereinafter referred to as "Client"), a company duly incorporated under the laws of {{client_country_of_incorporation}}, with its registered office located at {{client_address}}.

The Service Provider and the Client are hereinafter individually referred to as “Party” and collectively as “Parties”.

2. Purpose and Scope

This Agreement defines the service levels that the Service Provider commits to providing to the Client for the services described in Appendix A (hereinafter referred to as "Services"). It establishes the mutual understanding of service expectations, responsibilities, and performance metrics.

The scope of this Agreement covers the provision of {{description_of_services}}.

This SLA should be read in conjunction with the Master Service Agreement (MSA) dated {{msa_date}}.

3. Service Availability and Uptime

The Service Provider commits to an agreed service availability of {{uptime_percentage}}% during the operational hours of {{operational_hours}}.

Availability is calculated as: (Total Scheduled Time - Downtime) / Total Scheduled Time * 100%.

Scheduled maintenance windows are excluded from downtime calculations. These will be communicated to the Client with at least {{notice_period_days}} days' notice.

4. Performance Metrics and Service Targets

The following performance metrics and service targets are applicable to the Services:

- **Response Time for Critical Incidents:** {{critical_incident_response_time_hours}} hours

- **Resolution Time for Critical Incidents:** {{critical_incident_resolution_time_hours}} hours

- **Response Time for High Incidents:** {{high_incident_response_time_hours}} hours

- **Resolution Time for High Incidents:** {{high_incident_resolution_time_hours}} hours

- **Response Time for Medium Incidents:** {{medium_incident_response_time_hours}} hours

- **Resolution Time for Medium Incidents:** {{medium_incident_resolution_time_hours}} hours

- **Response Time for Low Incidents:** {{low_incident_response_time_hours}} hours

- **Resolution Time for Low Incidents:** {{low_incident_resolution_time_hours}} hours

Definitions of incident severity levels are provided in Appendix B.

5. Service Credits and Penalties

In the event that the Service Provider fails to meet the agreed service levels, the Client may be entitled to service credits as follows:

- For every {{percentage_breach}}% decrease in agreed uptime below {{uptime_percentage}}%: {{credit_percentage}}% of the monthly service fee, up to a maximum of {{maximum_credit_percentage}}% of the monthly service fee.

- Other penalties for specific performance failures are outlined in Appendix C.

Service credits will be applied to the subsequent month's invoice.

6. Client Responsibilities

The Client agrees to fulfill the following responsibilities to ensure the effective delivery of Services:

- Provide timely and accurate information to the Service Provider.

- Ensure availability of client personnel for collaboration and problem-solving.

- Adhere to any agreed-upon procedures and protocols for service requests and incident reporting.

7. Reporting and Review

The Service Provider will provide the Client with monthly performance reports by the {{reporting_day_of_month}} day of each month, detailing the service levels achieved against the agreed targets.

The Parties agree to review this Agreement on a {{review_frequency}} basis, or as needed, to ensure its continued relevance and effectiveness.

8. Dispute Resolution

Any disputes arising out of or in connection with this Agreement shall first be addressed through good faith negotiations between the Parties.

If the dispute cannot be resolved through negotiation within {{negotiation_period_days}} days, the Parties agree to pursue mediation in accordance with the rules of {{mediation_body}}.

If mediation is unsuccessful, the dispute shall be resolved through arbitration in {{arbitration_city}}, {{arbitration_country}}, in accordance with the rules of {{arbitration_body}}.

9. Governing Law

This Agreement shall be governed by and construed in accordance with the laws of {{governing_country}}.

10. Entire Agreement

This Agreement, together with its Appendices, constitutes the entire agreement between the Parties concerning the subject matter hereof and supersedes all prior and contemporaneous agreements, proposals, negotiations, and discussions, whether written or oral, between the Parties.

11. Signatures

IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date first written above.

**FOR THE SERVICE PROVIDER:**

_____________________________

Name: {{service_provider_signer_name}}

Title: {{service_provider_signer_title}}

Date: {{service_provider_signature_date}}

**FOR THE CLIENT:**

_____________________________

Name: {{client_signer_name}}

Title: {{client_signer_title}}

Date: {{client_signature_date}}

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