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Managed Services Agreement Contract Template (MS Agreement)

Managed Services Agreement

MS Agreement England & Wales

What is a Managed Services Agreement (MS Agreement)?

It’s crucial for businesses to have a reliable IT infrastructure. As a customer, you need to know what service is being provided, and what help you can expect to receive if something isn’t working as it should. This is where a MS Agreement comes into play. 

The MS Agreement is a contract between a provider of a service and their customer that outlines the terms and conditions of IT services that will be provided.

The MS Agreement covers a wide range of services, such as hardware and software support, network management, security, and data backup and recovery. It is a proactive approach, helping companies minimise downtime and improve their IT infrastructure's reliability and security.

Can a customer cancel a Managed Services Agreement?

Typically, the customer should only be able to give notice to expire at the end of a term or auto term.

They should not be given a right to terminate for any reason outside of the above. They can, of course, terminate if there is a breach by you which you haven’t been able to fix within 30 days.

We typically invite supplier of IT managed services to set an initial term of 12 months with automatic renewal for every 12 months thereafter with a right for the customer to cancel 90 days before the expiry of either the initial term or renewal period.

Can I use a Service Level Agreement (SLA) instead of a Managed Services Agreement?

We would recommend that you use the SLA alongside your Managed Services Agreement rather than as a standalone document.

This usually details estimated response times when faults arise, estimated fix times for faults, how long will it take for the support services will be provided and the level of service that will be expected for the different services and/or response/fix times.

These documents are important to manage expectations of the level of service to be provided.

Do I need a Managed Services Agreement if I have a Master Services Agreement in place?

A Master Services Agreement should cover professional services as well as managed services, so you won’t need one if your Master Services Agreement has managed services provisions.

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