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Service Agreement Legal Review

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Rate:
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Publication date: 26.06.2025
Reading time: 4 minutes
Number of views: 173
Stage Term (days) Cost
  • 1
    Stage 1. Initial Analysis and Information Gathering
    2 $199.65

    Stage 1. Initial Analysis and Information Gathering

     

    Lawyer's Actions:

    • Obtaining the contract from client in editable format.
    • Analysis of contract purpose and subject matter.
    • Collecting additional information about parties, service scope, jurisdiction, business model.
    • Aligning with client on key expectations (rights protection, liability limitations, termination, IP, etc.).
  • 2
    Stage 2. Comprehensive Legal Contract Review
    4 $665.50

    Stage 2. Comprehensive Legal Contract Review

     

    Lawyer's Actions:

    • Analysis of contract compliance with applicable law (e.g., New York or California state law).
    • Verification of:
    1. payment terms and deadlines;
    2. scope of parties' obligations;
    3. liability and penalty clauses;
    4. termination provisions;
    5. rights to service deliverables and intellectual property;
    6. confidentiality, jurisdiction and dispute resolution clauses;
    • Identification of gaps or risky language.
    • Assessment of balance between parties' interests.
  • 3
    Stage 3. Providing Findings and Recommendations
    2 $399.30

    Stage 3. Providing Findings and Recommendations

     

    Lawyer's Actions:

    • Preparation of written legal opinion (legal memo or comment letter).
    • Clear identification of:
    1. risky provisions and potential consequences;
    2. clauses requiring clarification or modification;
    3. specific legal recommendations for revisions;
    • Online consultation with client (if needed).
  • 4
    Stage 4. Contract Revision (Upon Client Request)
    3 $532.40

    Stage 4. Contract Revision (Upon Client Request)

     

    Lawyer's Actions:

    • Implementing amendments to the contract text per the legal opinion.
    • Negotiating language with counterparty or preparing negotiation comments.
    • Adding protective clauses (e.g., liability limitations, force majeure, etc.).
  • 5
    Stage 5 (Optional). Final Contract Review Before Signing
    1 $199.65

    Stage 5 (Optional). Final Contract Review Before Signing

     

    Lawyer's Actions:

    • Review of final version (including counterparty's amendments).
    • Verification of compliance with agreed terms.
    • Final approval for signing or additional consultation.
In general
12 $1,996.50

Legal Nature of a Service Agreement

A Service Agreement is not just a piece of paper. It is a clear instruction for both parties: what we do, when we do it, how much is paid, and who is responsible if something goes wrong. Since services are intangible, it is crucial to detail the expected result and acceptance criteria – this leads to fewer surprises and disputes.

 

Essential Clauses

  1. Subject Matter of the Agreement – specifically which services, in what scope, and with what final result.
  2. Timeline and Stages – deadlines, intermediate stages, acceptance milestones.
  3. Payment – amount, how and when payment is made (advances, in stages, upon completion).
  4. Parties' Obligations – who does what, who provides access to resources/data.
  5. Acceptance Criteria – how to determine that the work is finished and accepted.
  6. Liability – penalties, compensation, limitations of liability.
  7. Confidentiality and IP – who obtains rights to the results, NDA, protection of code/data.
  8. Termination – when the agreement can be terminated, what happens with payment and rights after termination.
  9. Governing Law and Dispute Resolution – arbitration or court, chosen jurisdiction.

 

Specifics for the USA – Key Points to Consider

  1. Contracts are governed by common law and the rules of the specific state – specifying the jurisdiction is crucial.
  2. Licenses and professional standards (medicine, fintech, law) may require additional clauses.
  3. Personal data protection requirements (HIPAA, CCPA) and tax regulations influence the wording.
  4. For contractors, it is important to stipulate tax implications and the payment structure.

 

What a Lawyer Pays Attention To

  • Clarity: what exactly is considered "completed".
  • Realistic deadlines and a clear acceptance mechanism.
  • Limitations of liability and insurance mechanisms (indemnities, insurance).
  • Procedure for the transfer of rights to the results and exceptions.
  • Force majeure and an action plan in case of impossibility to perform obligations.
  • Correct dispute resolution mechanism and confidentiality protection.

 

Practical Tips – To Avoid Rework

  • Describe the result, not just the process: instead of "deploy a platform" – "deploy a website on a domain, with pages X, Y and integration Z".
  • Add test scenarios and acceptance checklists.
  • Stipulate an action plan for delays and a compensation formula.
  • Clearly define who pays for changes in scope (change orders).
  • Stipulate rules regarding intellectual property and licensing.

 

Summary

A well-drafted Service Agreement is not bureaucracy, but protection and order. It will speed up work, reduce disputes, and save time and money for both parties.

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  • Are the services to be provided clearly defined?
  • Are there deadlines or a timeline for service delivery?
  • Is a fixed price or a pricing mechanism clearly stated?
  • Are the payment terms (schedule, method, advance/final payment) included?
  • Does the contract define liability for breach of obligations?
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