A Cloud Services Agreement defines the legal and operational framework for cloud infrastructure or platform usage. This playbook outlines negotiation of service levels, data handling, and termination assistance provisions.
Why This Matters: Without defined metrics, poor performance may go unaddressed, disrupting business operations and customer satisfaction.
Negotiation strategy
If you're the Customer:
Ensure that the SLA includes specific, measurable performance standards and remedies for non-compliance. Negotiate for service credits and termination rights in case of repeated failures.
If you're the Service Provider:
Propose realistic performance standards that align with your capabilities. Offer reasonable remedies for non-compliance, but limit liability with caps on service credits.
Essential elements
1
Performance Standards
Defines service quality expectations.
2
Uptime Guarantee
Specifies service availability percentage.
3
Remedies for Non-Compliance
Outlines consequences for failing metrics.
Action framework
ACCEPT
Propose edits if performance standards are vague or unenforceable.
EDIT
Reject if the SLA lacks any remedies for non-compliance.
ADD
Add clauses for monitoring and reporting if absent.
PRO TIP
Always ensure the SLA terms are aligned with industry standards and your operational needs.
Example clauses
FAVORABLE
Preferred SLA Clause
"The Service Provider shall ensure that the Services meet or exceed the performance standards set forth in this Agreement. The performance standards shall include, but are not limited to, system availability, response times, and resolution times. The Service Provider shall monitor and report on the performance of the Services on a monthly basis."
NEUTRAL
Uptime Guarantee Clause
"The Service Provider guarantees that the Services will be available 99.9% of the time, measured on a monthly basis, excluding scheduled maintenance. Scheduled maintenance shall not exceed four (4) hours per month and shall be communicated to the Client at least 48 hours in advance."
UNFAVORABLE
Lack of Remedies Clause
"The Service Provider shall not be liable for any failure to meet the performance standards set forth in this Agreement."
Fallbacks
High-Risk Services
For services involving critical operations or sensitive data, require higher uptime guarantees and stricter penalties for non-compliance.
Low-Risk Services
For non-critical services, standard SLA terms may suffice, with reduced penalties and more flexibility.
Variable Demand Services
For services with fluctuating demand, consider flexible performance standards that adjust based on usage patterns.
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WEEK 1
CLM Readiness and Design
Our CX team works with you to understand your contracting challenges, prioritize key workflows, and identify the biggest impact areas. We build a tailored implementation plan that fits your needs.
WEEK 2
Install Module
We connect DocJuris to your contract repositories, set up admin and user accounts, and ensure your environment is ready for success.
WEEK 3
Deliver & Test
Your team builds initial playbooks, reviews existing clause libraries, and trains the DocJuris agent to align with your internal standards and negotiation positions.
WEEK 4
Launch
We support you in rolling out DocJuris to a pilot group or your full organization—with launch materials, training, and hands-on support to drive adoption from day one.
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