New Mexico IT service contract template

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How New Mexico IT service contract Differ from Other States

  1. New Mexico IT service contracts must comply with state-specific procurement laws under the New Mexico Procurement Code.

  2. Data privacy provisions must adhere to New Mexico's Data Breach Notification Act, requiring prompt breach notifications.

  3. Public sector contracts in New Mexico often mandate specific disclosures and anti-discrimination clauses not found elsewhere.

Frequently Asked Questions (FAQ)

  • Q: Is a written IT service contract required in New Mexico?

    A: While not legally required for all services, a written contract is essential to clearly define responsibilities and protect both parties.

  • Q: Do I need to include data breach clauses in my contract?

    A: Yes. New Mexico law requires clear terms regarding data protection and immediate notification in the event of a breach.

  • Q: Are there any state-specific clauses I must add?

    A: Yes. Add clauses covering compliance with state procurement laws, privacy regulations, and anti-discrimination requirements.

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New Mexico IT Service Contract

This New Mexico IT Service Contract (the "Agreement") is made and entered into as of [Date], by and between [IT Service Provider Legal Name], a [Legal Entity Type, e.g., New Mexico Corporation, Sole Proprietorship] with its principal place of business at [IT Service Provider Address] ("Service Provider"), and [Client Legal Name], a [Legal Entity Type, e.g., New Mexico LLC] with its principal place of business at [Client Address] ("Client").

WHEREAS, Service Provider is engaged in the business of providing IT services; and

WHEREAS, Client desires to engage Service Provider to provide certain IT services as described herein.

NOW, THEREFORE, in consideration of the mutual covenants contained herein, the parties agree as follows:

1. Scope of Services

Service Provider shall provide the following IT services to Client:

  • Option A: Software Development – Development of custom software solutions, including:
    • [Detailed Description of Software, e.g., web application, mobile app]. Requirements gathering, design, development, testing, and deployment.
  • Option B: Hardware Installation – Installation and configuration of computer hardware, including:
    • [List Hardware, e.g., servers, workstations, network devices]. Cabling, network setup, and operating system installation.
  • Option C: Network Management – Management and maintenance of Client's network infrastructure, including:
    • [Network Components, e.g., routers, switches, firewalls]. Monitoring, security updates, and performance optimization.
  • Option D: Cloud Services – Cloud migration, management, and support, including:
    • [Cloud Platforms, e.g., AWS, Azure, Google Cloud]. Data storage, backup, and security.
  • Option E: Cybersecurity Consulting – Cybersecurity assessments, vulnerability testing, and security implementation.
  • Option F: Data Backup and Disaster Recovery Planning – Implementation and maintenance of data backup solutions and disaster recovery plans.
  • Option G: Software or Systems Integration – Integration of different software and hardware systems.
  • Option H: IT Helpdesk Support – Providing remote or on-site IT support to Client's employees.

2. Service Levels and Support Terms

Service levels and support terms are defined as follows:

  • Option A: Response Time – Service Provider will respond to support requests within [Number] hours during New Mexico business hours (8:00 AM to 5:00 PM Mountain Time, Monday-Friday).
  • Option B: Resolution Time – Service Provider will resolve support requests within [Number] hours, depending on the severity of the issue.
    • Severity 1 (Critical): [Number] hours.
    • Severity 2 (High): [Number] hours.
    • Severity 3 (Medium): [Number] hours.
  • Option C: Escalation Path – If a support request is not resolved within the specified resolution time, it will be escalated to:
    • First Level: [Name and Title]
    • Second Level: [Name and Title]
  • Option D: Reporting – Service Provider will provide Client with a monthly status report detailing service performance and any outstanding issues.
  • Option E: Support Method – Support will be provided via:
    • Remote Support
    • On-site Support (subject to travel expenses outlined in Section 4)
    • Phone Support

3. Technical Specifications

Service Provider shall adhere to the following technical specifications:

  • Option A: Hardware Specifications – All hardware provided by Service Provider shall meet or exceed the following specifications: [Detailed Hardware Specifications].
  • Option B: Software Specifications – All software provided by Service Provider shall be compatible with Client's existing systems and comply with applicable New Mexico and federal regulations.
  • Option C: Network Specifications – The network infrastructure managed by Service Provider shall meet the following security standards: [Detailed Network Security Standards].
  • Option D: Data Security – All data shall be encrypted at rest and in transit, complying with the New Mexico Data Breach Notification Act (NMSA 57-12C).

4. Client Responsibilities

Client shall provide the following:

  • Option A: Access – Provide Service Provider with necessary access to Client's facilities, systems, and data.
  • Option B: Credentials – Provide Service Provider with necessary credentials to access Client's systems and data.
  • Option C: Information – Provide Service Provider with timely and accurate information necessary to perform the services.
  • Option D: Point of Contact – Designate a point of contact for Service Provider to communicate with. [Name and Contact Information]

5. Service Location

Services will be provided:

  • Option A: Remotely from [Location, e.g., Service Provider’s office in Albuquerque, NM; Out of State].
  • Option B: On-site at Client's location in [City, NM]. Travel expenses, if applicable, will be billed to Client at [Rate] per mile or actual cost.

6. Payment Terms

Client shall pay Service Provider as follows:

  • Option A: Fixed Fee – A fixed fee of [Dollar Amount] for the entire project.
  • Option B: Hourly Rate – An hourly rate of [Dollar Amount] per hour for services rendered.
  • Option C: Retainer – A monthly retainer of [Dollar Amount] for ongoing services.
  • Option D: Usage-Based Billing – Billing based on usage of services at a rate of [Dollar Amount] per [Unit, e.g., GB of data transferred].
  • Payment Schedule: Payments are due [Number] days from the date of invoice.
  • Late Payment: Late payments will accrue interest at a rate of [Percentage] per month, not exceeding the maximum rate allowed by New Mexico law.
  • Gross Receipts Tax: All fees are subject to applicable New Mexico gross receipts tax.

7. Acceptance

Client shall have [Number] days from the completion of each milestone or deliverable to accept or reject the work. If Client fails to respond within this timeframe, the work will be deemed accepted. Client will follow procedures as documented in [Document Name/Reference].

8. Intellectual Property

Ownership of intellectual property is defined as follows:

  • Option A: Work-for-Hire – All work performed by Service Provider under this Agreement shall be considered "work-for-hire" and owned by Client.
  • Option B: Exclusive License – Service Provider grants Client an exclusive license to use the software developed under this Agreement.
  • Option C: Limited-Term Use – Service Provider grants Client a limited-term license to use the software developed under this agreement, expiring on [Date].

9. Confidentiality

Both parties agree to hold each other's confidential information in confidence, adhering to the New Mexico Uniform Trade Secrets Act.

10. Data Security

Service Provider shall implement and maintain reasonable security measures to protect Client's data, including compliance with the New Mexico Data Breach Notification Act. Data is stored [In-state/Out-of-state].

11. Compliance with Laws

Both parties shall comply with all applicable New Mexico and federal laws and regulations. Service Provider shall be registered with the New Mexico Secretary of State if required.

12. Indemnification and Liability

Service Provider shall indemnify and hold harmless Client from and against any and all claims, damages, liabilities, costs, and expenses arising out of or relating to Service Provider's negligence or breach of this Agreement. Service provider’s liability is capped at [Dollar Amount].

13. Insurance

Service Provider shall maintain the following insurance coverage:

  • General Liability Insurance: [Dollar Amount] per occurrence.
  • Professional Liability (E&O) Insurance: [Dollar Amount] per claim.
  • Cyber Liability Insurance: [Dollar Amount] per incident.

14. Project Management and Change Control

Changes to the scope of services must be documented in writing and agreed upon by both parties.

15. Delays and Force Majeure

Neither party shall be liable for delays caused by events beyond its reasonable control, including natural disasters, power outages, or state emergencies specific to New Mexico.

16. Termination

This Agreement may be terminated:

  • Option A: For Cause – By either party for material breach by the other party.
  • Option B: For Convenience – By Client upon [Number] days' written notice.
  • Option C: Non-Payment – By Service Provider if Client fails to pay invoices within [Number] days of the due date.

17. Dispute Resolution

Any disputes arising out of or relating to this Agreement shall be resolved through negotiation, mediation, or arbitration in New Mexico. This agreement is governed by the laws of the State of New Mexico, with venue in [City, NM].

18. Subcontracting

Service Provider shall not subcontract any of its obligations under this Agreement without the prior written consent of Client.

19. Independent Contractor

Service Provider is an independent contractor and not an employee, partner, or joint venturer of Client.

20. Records Retention

Service Provider shall retain all service records and logs for a minimum period of [Number] years.

21. Audit Rights

Client shall have the right to audit Service Provider's compliance with this Agreement.

22. Representations and Warranties

Service Provider represents and warrants that it has the necessary qualifications and experience to perform the services under this Agreement.

23. Exhibits and Schedules

The following exhibits and schedules are attached to and incorporated into this Agreement:

  • Exhibit A: Detailed Service Description
  • Exhibit B: Project Timeline
  • Exhibit C: Pricing Matrix
  • Exhibit D: Authorized Contacts List

24. Amendments

This Agreement may be amended only by a written instrument signed by both parties.

25. Notices

All notices under this Agreement shall be in writing and sent to the addresses listed above.

26. U.S. Federal Regulations

Both parties shall comply with all applicable U.S. federal IT regulations.

IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written above.

[IT Service Provider Legal Name]

By: [Name]

Title: [Title]

[Client Legal Name]

By: [Name]

Title: [Title]

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