|The appointment of a third party maintenance organization for certain companies, is often a far more viable way of supporting a product throughout an extensive territory, than by employing in-house support staff and by setting up strategically placed offices in the territory to provide a reasonable response time to customers. Where neither a supplier nor a distributor has the staff, the resources or, in the case of a distributor, the technical know-how to support the product, it is advisable that the supplier or distributor enter into an agreement with a third party maintenance organization.
A good third party maintenance organization will have qualified engineers, support staff, and have offices sufficiently placed throughout the territory to provide the quality of support expected by any end-user. It must run an efficient “call control” or “fault-tracking” system for the analysis and logging of all product faults and repairs. It should regularly report the same to the supplier and implement any changes required to the product.
It should carry out “warranty” and “board” repairs on behalf of the supplier and for its distributors/dealers and end-users.
The style forming this Contract is fairly balanced in respect of the rights and obligations of each party, though it may be regarded as slightly more weighted in favour of the Contractor, since the Contractor is being allowed to contract with customers upon the terms of the Contractor’s own agreement, rather than the supplier’s agreement, thereby establishing a closer relationship between contractor and customer.
This Contract also provides for the transfer of maintenance of the supplier’s existing customers to the contractor and for the notification by the supplier of the appointment of the contractor as the recommended maintenance contractor for the supplier’s product.
Although this Contract is drafted primarily for hardware, it can equally apply to system support.