Maintenance is, no doubt, one essential factor in ensuring quality assurance and keeping your business to survive long. Malfunctioning equipment and machines, poor quality results, and complete breakdowns may take over without maintaining certain aspects in business. However, maintenance service also involves a detailed plan, organized schedule, a specific budget, and more. And the key to ensuring it runs successfully is to make a maintenance agreement. And sample maintenance agreement templates are just what you need to avoid costly repairs, observe preventive measures, etc. Learn more about these agreements by reading below.
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What Is a Maintenance Agreement?
A standard contract or agreement happens when two or more individuals meet ends in an arrangement, deal, or negotiation. And when the concern involves a service provider that should be responsible for maintaining goods, services, and properties, a maintenance contract is at play. The document will detail what equipment, building, vehicle, or landscape to be maintained including the needed schedule and money required. And it is important to properly spell out the terms, conditions, provisions to prevent conflicts.
How to Make a Maintenance Agreement
Now that you already know what a maintenance agreement is, what about how to create it? Rest assured, it is not as difficult as you might expect. In fact, our editable and downloadable templates are ready to guide you on the process anytime. Just select the best sample maintenance agreement template of your choice and tailor it according to your purpose. And for a more detailed approach in making an excellent agreement, kindly follow these six easy steps:
Step 1: Define Your Agreement
Right from the introduction, define what the agreement is about. Yes, you can say it is a maintenance agreement right from the title. But you can specify it more like in saying that it is a maintenance agreement for easement or landscaping services, perhaps. Besides defining, you also identify the parties of this agreement. Oftentimes, it will be the client and the service provider. Be sure you write their complete legal names and do not use ambiguous titles that might not fully recognize parties.
Step 2: List the Maintenance Services to Perform
What will be the maintenance services to be done? Services could be related to the early stages, post services, or perhaps how often they will happen, whether it is a weekly routine or annual maintenance. List as many services that will be offered and add some detail to describe what each service is like. Hence, do not just say that you will do maintenance. What maintenance processes will be involved? Will it include plumbing, electrical repair, painting, or any troubleshooting process? List them. Clients have a right to complain when the services promised by the provider did not happen in actuality. Always review this portion to avoid conflicts.
Step 3: Insert the Compensation Provisions
It is no surprise that in a maintenance agreement, a compensation structure is part of its sections. For example, you calculate the hourly rate to pay, methods and services used, tools and equipment needed, or any additional compensation. Without any compensation policy in an agreement, things might lead to court when conflicts arise. And this segment is crucial whether you are an independent maintenance contractor or a large service provider.
Step 4: State Each Party’s Promises and Warranties
Keep in mind that an agreement is also a negotiation. What did one party promise to you? And what did you promise for that party? They should be written in the maintenance agreement as well. This part is crucial in case one party changes his or her mind about specific promises, and that is a big no-no. Warranties may be small like a guarantee of how all parties should comply with all the legalities throughout their business relationship. But sometimes, it can be difficult where money-back guarantees are a concern. Hence, be careful with what you’re dealing with.
Step 5: Mention the Legal Dispute Guidelines
When things go downhill or if legal disputes are a concern, guidelines must be introduced in the agreement. You could allow professional mediators or arbitrators to work as support in the agreement disputes, perhaps, so companies process the legal system professionally. Also, you can incorporate an indemnity clause that will help you state what all parties agree with in terms of what they are liable and not liable for.
Step 6: Note the Termination Provisions
Any agreement should end in stating the termination provisions. So what are the conditions or instances where the agreement is officially considered void? Enlist them. You could state that any fraudulent or criminal act leads to automatic termination. Or perhaps, you incorporate what the breaching party should comply with to end the relationship fairly. And once you are confident with everything written, launch your agreement. Ensure that each party signs it for confirmation too.
What does a maintenance agreement contain?
Although the contents of a maintenance agreement vary from business to business, there are common denominators involved too. The following are the usual sections found in a maintenance agreement:
- Billing structure
- Interim caps
- Late payment terms
- Service schedule
- Termination of services
What is the difference between service agreements and maintenance agreements?
Both service and maintenance agreements are similar but they also have specific differences. For example, a service contract includes emergency road services, towing services, and rentals. But in a maintenance agreement, whoever made the agreement is expected to conduct regular maintenance of specific properties, including regular oil changes for vehicles. Thus, there is a regular schedule to maintenance agreements while service agreements are applicable only if necessary.
What does AMC mean?
AMC stands for the annual maintenance contract. It is an official agreement involving service providers that conduct repair and maintenance for specific properties used by a business.
Just like most agreements, maintenance agreements have an offer and an acceptance between parties. And it is important to require this agreement before implementing any maintenance service to take care of your properties, facilities, or business, in general. With our collection of sample maintenance agreement templates, you don’t need any complex software to create an agreement. You just have to explore each sample, familiarize the content, and voila! You can make a maintenance agreement in no time. Download now!
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