Software Development Agreement
Why Use a Software Development Agreement?
When commissioning custom software, it’s vital that both the client and developer agree on what will be built, when it will be delivered and who will own the resulting code. A software development agreement provides this roadmap. It pairs a high‑level master services agreement with a project‑specific statement of work (SOW) that defines activities, deliverables, timelines and detailed requirements.
In addition to outlining the scope, a software development agreement addresses intellectual property ownership, confidentiality, testing and acceptance criteria, change management and warranties. Clear documentation reduces the risk of misunderstandings, scope creep and disputes.
When to Use This Agreement
Use a software development agreement whenever you hire a developer or agency to create custom software, build a website, develop an app or modify existing code. This contract is suitable for both fixed‑price and time‑and‑materials projects. It complements your statement of work by establishing legal protections and the framework for collaboration.
Key Elements
- Scope of Work: A detailed SOW describing features, functionality, technology stack and project milestones.
- Payment & Milestones: Payment schedule tied to deliverables or phases.
- Intellectual Property: Terms establishing who owns the code and any licenses retained by the developer.
- Confidentiality: Protection of proprietary information and trade secrets.
- Change Management: Process for approving changes in scope, timeline or cost (often through change orders).
- Testing & Acceptance: Criteria for verifying that deliverables meet requirements.
Our software development agreement template provides a comprehensive yet flexible framework for your next software project. It helps prevent surprises by ensuring that everyone understands their rights and obligations from the outset.
Create a Free Account to View Full Contract Model