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Cloud Service Agreement

Clearly define services, uptime, security, and data ownership with this Cloud Service Agreement Template.

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Cloud Service Agreement Template


This Cloud Service Agreement (“Agreement”) is entered into on [Date], by and between:

Provider: [Provider Company Name], located at [Address], email [Email], phone [Phone].
Client: [Client Name/Company Name], located at [Address], email [Email], phone [Phone].

Together, the “Parties.”


1. Services Provided

The Provider agrees to deliver cloud-based services, including [IaaS / PaaS / SaaS / storage / hosting / other], as described in Exhibit A – Service Description.
Services include access to [applications, databases, computing resources], subject to the terms herein.


2. Service Levels and Uptime Guarantee

The Provider shall ensure a minimum uptime of [99.9%] per calendar month, excluding scheduled maintenance or force majeure events.
If uptime falls below this threshold, the Client may be entitled to service credits as outlined in Exhibit B – SLA.


3. Data Ownership and Protection

The Client retains ownership of all data uploaded, processed, or stored within the cloud environment.
The Provider shall implement industry-standard security practices, including encryption in transit and at rest, access controls, and compliance with [GDPR / HIPAA / local laws].


4. Backup and Disaster Recovery

The Provider shall perform automated backups on [daily/weekly] intervals and maintain recovery procedures ensuring data restoration within [X hours/days].
In case of disaster or outage, the Provider shall notify the Client within [X] hours and provide ongoing updates until resolution.


5. Fees and Payment

The Client agrees to pay service fees as set out in Exhibit C – Pricing Schedule.
Invoices are due within [30] days of receipt. Late payments may incur [X%] interest per month or suspension of services.


6. Support and Maintenance

Support is available via [ticket/email/phone/chat] during business hours [or 24/7 if applicable].
Priority response times are defined in Exhibit B – SLA.
Scheduled maintenance will be communicated at least [X] hours in advance.


7. Confidentiality

Both Parties agree to maintain confidentiality of all proprietary information, trade secrets, and customer data accessed under this Agreement.


8. Term and Termination

This Agreement commences on [Start Date] and continues for [X months/years], renewing automatically unless terminated with [30/60] days’ prior written notice.
Either Party may terminate immediately in case of material breach not cured within [X] days.


9. Liability and Indemnification

Provider liability is limited to the total fees paid by the Client in the preceding [12] months.
Neither Party shall be liable for indirect, incidental, or consequential damages.
The Client agrees to indemnify the Provider against claims resulting from misuse of services.


10. Governing Law and Dispute Resolution

This Agreement shall be governed by the laws of [State/Country].
Disputes shall be resolved first through good-faith negotiation, then [mediation/arbitration/litigation] in [Venue].


11. Entire Agreement

This Agreement, together with its Exhibits, constitutes the full understanding between the Parties and supersedes all prior discussions or agreements.
Any amendments must be in writing and signed by both Parties.

Signatures

Provider Representative: _______________________ Date: ____________
Name & Title: _________________________________

Client Representative: _________________________ Date: ____________
Name & Title: _________________________________

Exhibit A – Service Description
[List services, features, resource limits, geographic regions, data center details.]

Exhibit B – SLA (Service Level Agreement)
[Response times, uptime %, remedies, penalties, service credits.]

Exhibit C – Pricing Schedule
[Subscription tiers, pay-per-use rates, overage fees.]

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Cloud Service Agreement

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For quick answers, scroll below to see the FAQ.

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For quick answers, scroll below to see the FAQ.

CLOUD SERVICE AGREEMENT FAQ


What is a Cloud Service Agreement?

A Cloud Service Agreement is a formal contract between a cloud service provider and a customer that sets out the terms for the use of hosted computing, storage, or software services. It defines service levels, security measures, payment obligations, and limitations of liability.


Why is a Cloud Service Agreement important?

It protects both parties by ensuring performance expectations are clear and legally enforceable. It covers critical issues like data protection, uptime, service credits, and exit strategies, which helps avoid disputes and downtime risks.


When should you use a Cloud Service Agreement?

Use this agreement when offering or subscribing to cloud services—such as IaaS, PaaS, SaaS, or hybrid solutions—especially when uptime, compliance, and data confidentiality are business-critical.


What should a Cloud Service Agreement include?

It should cover service scope, uptime/service level guarantees, data ownership and security, backup and recovery terms, support and maintenance, pricing, liability limits, termination rights, and governing law.


Does a Cloud Service Agreement replace an SLA?

Not exactly. The Service Level Agreement (SLA) is often incorporated as a key exhibit within a Cloud Service Agreement, providing detailed performance metrics, remedies, and penalties for non-compliance.


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