Contract Considerations

Abstract

It becomes increasingly important that contract considerations be included as part of the final selection process of any vendor solution (packaged or customized development). Organizations tend to make the mistake of leaving the contract negotiations toward the end of the selection process as opposed to making it inherently part of the process throughout each phase. That is, the contract is more a “living” document that may change as the needs of the product become more obvious to the stakeholders. In other words, the process feeds the contract needs. Thus, the purpose of this chapter is to provide guidance on the relevant stages, considerations, and content of the contract agreement. It is important to note that the information contained in this chapter is prescriptive in nature and not intended to suggest that technology or business personnel can determine whether a contract should be signed without the assistance of legal counsel, but it does provide a checklist of things to ensure that lawyers are aware about and ensures that the organization is protected.