Contract Management

 View Only

  • 1.  SLA

    Posted 03-21-2022 09:09 PM
    Hi there


    Does anyone have examples of SLA's that your financial institution uses when the vendor does not include one in their contract? If so, can you post them or email them to me so i can get an idea of how to format ours? 


    Thanks!


  • 2.  RE: SLA

    Posted 03-24-2022 01:09 PM

    Hello!

    The type of services you receive from your vendor will determine the type of SLA you want to draft.

    For SaaS contracts you typically see a version of below:

    1. Client should have access to the Service 24/7.
    2. Routine System maintenance will occur (list maintenance times).
    3. Services shall have a (percentage) uptime.
    4. If Vendor is unable to provide the Uptime Minimum for (amount of time), Client will be entitled to the Service Level Credits below:
      • Percentage Uptime: 99.5%-100% = 0% Credit Percentage (1 month Service Fee Paid)
      • Percentage Uptime: 97.5%-99.5% = 15% Credit Percentage (1 month Service Fee Paid)
      • Percentage Uptime: <97.5% = 25% Credit Percentage (1 month Service Fee Paid)
    5. Priority Levels (some have descriptions of each level and their response time)
      • Critical – Priority 1
      • High – Priority 2
      • Medium – Priority 3
      • Low – Priority 4
    6. Description of Escalation based on priority level.
    7. Right to terminate based on consistent downtime.

    For time and material processing services:

    1. Meets Expectations:
      • No more than 1 failure per calendar month: No Credit
    2. Below Expectations:
      • Two failures per calendar month: 3.0% credit
      • Three failures per calendar month: 5.0% credit
      • More than 3 failures per calendar month: 7.0% credit

    I hope that these can help you! Does anyone else have any examples to share?


    Original Message