Service Level Agreements: A Legal and Practical Guide

1: Why do you Need a Service Level Agreement?

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x The supplier taking ‘short cuts’ in order to

save time, money and resources (since the

spending of that time, money and resources on

dealing with your organisation’s issues might,

in the supplier’s opinion, make the SLA

economically unviable).

x The supplier trying to charge for services

which are not mentioned in the SLA, but

which your organisation might have thought

were already covered and included in the

agreed services (and associated price).

x The supplier not strictly complying with the

pre-defined service levels, targets and credits,

but it being too expensive, time-consuming or

inconvenient for your organisation to enforce

these provisions via the courts.

Although in a tough