# Software Development contract

> This template is a starting point, not legal advice. Laws and required terms vary by country and state. Have a qualified lawyer review it for your jurisdiction and business before you use it.

Replace everything in [brackets]. Delete clauses that don’t apply and have a lawyer review the result.

---

## Parties

Service provider: [Business name, address, email] (“the developer”)
Client: [Business name, address, email] (“the Client”)
Effective date: [Date]

## 1. Services

The provider will deliver the software development services described below, or in a statement of work signed by both parties.

- [Working software deployed to the client’s environment]
- [Source code in the client’s repository]
- [Technical documentation and deployment notes]
- [Handover session for the client’s team]

## 2. Not included

- [Hosting, third-party APIs and licences unless listed]
- [Features not listed in the agreed backlog]
- [Support after the warranty period]
- [Data migration from legacy systems]

## 3. Client responsibilities

- [A product owner available for sprint reviews]
- [Access to existing systems and test data]
- [Decisions on priorities within agreed timeframes]

If the Client’s inputs are late, delivery dates move by the same amount of time.

## 4. Fees and payment

Fee: [Amount and basis — fixed, hourly, day rate or monthly]
Deposit: [e.g. 30% before work starts]
Payment terms: [e.g. invoices due within 14 days]
Expenses: [Charged at cost with prior approval / included]
Late payment: [Interest or right to pause work, as allowed by law]

## 5. Changes to the scope

Either party can request changes in writing. The provider will confirm the effect on fees and timeline before starting any change.

## 6. Acceptance testing

The client has ten working days after each release to report defects against the agreed acceptance criteria. Releases with no reported defects in that time are accepted.

## 7. Intellectual property and open source

On payment, the client owns the custom code written for the project. Open-source components remain under their own licences, which the developer will list.

## 8. Warranty

The developer fixes defects reported within 30 days of launch at no charge. New features and changes in requirements are not defects.

## 9. Confidentiality

Each party keeps the other’s confidential information private and uses it only to perform this agreement, during the agreement and for [2] years after it ends.

## 10. Liability

[Limit each party’s total liability, e.g. to the fees paid under this agreement in the previous 12 months, and exclude indirect losses, to the extent the law allows. Have a lawyer draft this clause for your jurisdiction.]

## 11. Term and termination

- This agreement starts on the effective date and continues until the services are complete, unless ended earlier.
- Either party may end it with [14] days’ written notice.
- Either party may end it immediately if the other materially breaches it and doesn’t fix the breach within [10] days of notice.
- On termination, the Client pays for work done up to the termination date.

## 12. Independent contractor

The provider is an independent business, not an employee, and is responsible for their own taxes and insurance.

## General

- **Entire agreement:** this agreement (and any statements of work under it) is the whole agreement between the parties on its subject.
- **Changes:** changes to this agreement must be in writing and signed by both parties.
- **Notices:** notices are sent to the email addresses above, or as updated in writing.
- **Governing law:** this agreement is governed by the laws of [jurisdiction], and the courts of [jurisdiction] have jurisdiction.

## Signatures

|  | [Party A] | [Party B] |
| --- | --- | --- |
| Name |  |  |
| Title |  |  |
| Signature |  |  |
| Date |  |  |

---

## Before you sign it

- [ ] Both parties’ legal names and addresses are correct.
- [ ] Services, deliverables and exclusions are specific.
- [ ] Fees, deposit and payment terms match the proposal.
- [ ] Ownership, confidentiality and liability clauses suit the project.
- [ ] Termination and notice periods are filled in.
- [ ] A lawyer has reviewed the template for your jurisdiction.

---

# Example: key terms for Keel Labs and Harbour Freight Ltd

How the main clauses read once filled in for a driver scheduling web app. Both companies are fictional.

## Parties and dates

Provider: Keel Labs
Client: Harbour Freight Ltd
Effective date: 1 March

## Services

- Working software deployed to the client’s environment
- Source code in the client’s repository
- Technical documentation and deployment notes
- Handover session for the client’s team

## Not included

- Hosting, third-party APIs and licences unless listed
- Features not listed in the agreed backlog
- Support after the warranty period
- Data migration from legacy systems

## Fees and payment

Fee: $24,620.00 excluding tax, as itemised in the proposal
Deposit: $7,386.00 (30%) before work starts
Payment terms: Invoices due within 14 days
Notice: 14 days’ written notice by either party

## Acceptance testing

The client has ten working days after each release to report defects against the agreed acceptance criteria. Releases with no reported defects in that time are accepted.

## Intellectual property and open source

On payment, the client owns the custom code written for the project. Open-source components remain under their own licences, which the developer will list.

## Warranty

The developer fixes defects reported within 30 days of launch at no charge. New features and changes in requirements are not defects.

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This template is a starting point, not legal advice. Laws and required terms vary by country and state. Have a qualified lawyer review it for your jurisdiction and business before you use it.

Template by Angelwood — https://angelwood.io/templates
