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computer contracts

Uploaded by

bc230406141mfa
Copyright
© © All Rights Reserved
Available Formats
Download as PDF, TXT or read online on Scribd
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Professional

Practices

CS 625

Free Powerpoint Templates


Page 1
Week:8 Computer Contracts

 Introduction

 Computer Contracts for s upply of Cus tom-built Software

 Other Types of Software Services Contract

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Page 2
Introduc tion
 An agreement between two or more parties for the doing
or not doing of something specified

 Contracts s erve the following purpose:

 Set out the agreement between the parties

 Set out the aims of the parties

 Provide for matter aris ing while the contract is


running

 Ways of terminating the contract and the


cons equences Free Powerpoint Templates
Page 3
Introduc tion (c ontinued)

 If the contracts are too hars h or unfair caus ing any is s ue


between parties to be unres olved, it is the res ponsibility
of contract laws to contemplate according to the rules

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Page 4
Introduc tion (c ontinued)
 There are almost never disputes over contracts which
run perfectly. Example marriage.

 Example of a ship carrying a cargo.

 In order to avoid disputes and future difficulties it is


better to draft a document which s ets out:

 The terms on which both parties is to work

 Methods of payments

 Appropriate ways to terminate the contract-notice


required
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Page 5
Introduc tion (c ontinued)

 Contract should be clear, concise and consistent. There


should be no ambiguity and the parties to the agreement
should be left in no doubt as to their rights and duties.
Ambiguity and doubts can lead to performance which is
viewed a s unsatisfactory. This can lead to disagreement
and the expenditure of time, effort and therefore money,
in resolving the matter.

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Page 6
Contrac ts for the s upply of c us tom-
built s oftware at a fixed pric e
 Software suppliers try to us e what are known as
s tandard form contracts, which are us ed or intended to
be us ed many times over.

 Such a contract might cons is t of:

 a s hort introductory s ection

 a s et of standard terms and conditions

 a s et of appendices or annexes

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Page 7
Introductory S ection
 It states that it is an agreement between the parties
whose names and regis tered addres s es are given.

 It is dated and signed by authorized repres entatives of


the parties .

 It often begins with a s et of definitions of terms us ed in


the
course of the agreement, s et out either in alphabetical
order, like a dictionary, or in the order in which they
appear in the res t of the contract –The Company, The
Client Free Powerpoint Templates
Page 8
Other parts

 Terms and conditions

 Annexes must include any document stated like SRS.


This is to avoid, for example, the situation in which
s tatements made by an over-enthusias tic s ales man
while trying to win the busines s are claimed by the
client to constitute part of the contract

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Page 9
Is s ues dealt with S tandard Terms &
Conditions
 What is to be produced?

 What is to be delivered?

 Owners hip of rights

 Payment terms

 Calculating payments for delays and changes

 Penalty claus es

 Obligations of the client

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Page 10
Is s ues dealt with S tandard Terms &
Conditions (continued)
 Standards and methods of working

 Progres s meetings

 Project Managers

 Acceptance procedure

 Warranty and maintenance

 Termination of the contract

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Page 11
Other types of s oftware s ervic es
c ontrac t
 There are four types of contractual arrangement which
are widely us ed in connection with the provision of
s oftware s ervices :

 fixed price

 contract hire

 time and materials

 cons ultancy

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Page 12
Contract Hire
 The s upplier agrees to provide the s ervices of one or
more staff to work for the client

 The staff work under the direction of the client

 Supplier’s res ponsibility is limited to provide s uitable


competent people and replacing them if they become
unavailable or s aid uns uitable by the client

 Payment is on the bas is of a fixed rate for each man day


worked

 Is s ues s uch as delay payments, acceptance tes ts and


many others simplyFree
doPowerpoint
not aris eTemplates Page 13
Time and Materials
 It is somewhere between a contract hire agreement and
a fixed price contract.

 The s upplier agrees to undertake the development of


the software in much the s ame way as in a fixed price
contract but payment is made on the bas is of the cos ts
incurred, with labor charged in the s ame way as for
contract hire

 The s upplier is not committed to completing the work for


a fixed price, although a maximum payment may be
fixed beyond whichFree
thePowerpoint
project may be reviewed
Templates
Page 14
Cons ultancy contracts
 Cons ultants are typically us ed to as s es s some as pect of
an organization and to make proposals for
improvements.

 The end product of a cons ultancy project is therefore


us ually a report or other document.

 Cons ultancy projects are us ually undertaken for a


fixed price but the form of contract is very much simpler

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Page 15
Thank you!

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Page 16

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