Discovery Data Systems, inc
12572 Westmont Dr., Moorpark, CA 93021
(805) 529-1325 (voice/cell) (805) 523-8153 (fax-24/7)
e-mail: Barry Wroobel(Site best viewed in 800x600 min)
 

(C) 2001 - Discovery Data Systems, inc. All rights reserved world wide.

Notice: All information contained within these pages is by reference only and subject to change without prior notice.

Addendum - Development Contract Outline
Look Before
You Web

© 2001 - Barry Wroobel - Discovery Data Systems, inc.

Addendum - Development Contract Outline
(note: Set the left and right printer margins to 0.25" for printing)

Major Headings from the Discovery Data Systems, inc. Web Development contract:

Section 1 - DEFINITIONS

Section 2 - CONTRACT ADMINISTRATION -
[2.1 Contract Coordinators -- (make someone responsible, define who can authorize
changes or development.)]

Section 3 - CHANGES --
[3.1 Change Orders -- (what form do these take, etc.), (3.2 Sufficient Writings - who is
going to take responsibility for clarity)]

Section 4 - NOTICE OF DELAY --
[4.1 Notification of delays -- (what is acceptable and what is not, who is responsible)]

Section 5 - SPECIFICATIONS --
[5.1 Specifications - (make an outline as soon as possible and amend it to the contract in an
addendum, even if is in outline form. You can always make changes along the way)]
5.2 Accessibility Of Web Site During Construction -- [make sure that you can see what they
are developing for you. A password restricted web site is preferable, but not absolutely
required.]

Section 6 - Deliverables --
[6.1 Delivery Of Deliverables -- define what is going to be delivered and how. In Calif., if the
entire product is delivered via the Internet exclusively, there is no sales tax. If any part
(other than return of customer owned materials) is delivered to you by the developer (disk,
paper, drawings, etc.) by any means other than the Internet, then sales tax on the entire
project must be paid. (Calif. is cracking down on this and has made special laws regarding
this exact subject.)]

Section 7 - COMPENSATION --
[7.1 Invoicing -,
7.2 Expenses --,
7.3 Partial Payment And Ownership In The Event Of
Termination --, etc. Spell all of these out IN ADVANCE! What has to be paid up front? What
has to be paid in progress payments? What is due at the end of the project?, When and how
are invoices and payments to be made, etc.]

Section 8 - CONFIDENTIALITY AND NON-COMPETITION --
[8.1 Confidentiality --,
8.2 Non-Competition -- did your developer make the same or similar site for someone
else?, This may not be a bad thing, as long as everyone knows what is going on and it does
not work out to anyones disadvantage. This language is usually very standardized]

Section 9 - REPORTS --
[9.1 Reports - how are you going to keep track of what is happening in the development of
your site.]

Section 10 - CONFIDENTIAL INFORMATION --
[10.1 No Confidential Information of Developer - The developer most likely has other clients.
Developer should agree not to tell you things you should not know. 10.2 Confidential
Information of Customer -- You are most likely going to have to divulge certain aspects of your
business to the developer. Put some restrictions on them.]

Section 11 - OWNERSHIP AND RIGHTS --
[11.1 Ownership of Work Product by Customer --. ,
11.2 Vesting of Rights --, 11.3 Preexisting Works --,
11.4 Indemnification/No Infringement --, this one ends more people in court than any other
topic (other than payment for non-usable work). Make sure that the developer understands
that once the site is accepted and paid for, YOU OWN IT without conditions. Make sure that
if the developer integrates some support package within your site, you know in advance
what it will cost you for a license (can you even get one without the developer
cooperating?). Is the developer putting some piece of code that they previously developed
that you can only use with their permission? Does the developer have the rights to give to
you for any of these preexisting works? Will the developer indemnify for these items?]

Section 12 - AGREEMENTS WITH EMPLOYEES and SUB-CONTRACTORS --
[12.1 Work Suppliers--, If you are contracting with a larger firm, they will have employees
or subcontractors working with your materials. These people need to be covered too.]

Section 13 - REPRESENTATIONS AND WARRANTIES --
[13.1 Ownership Rights --, 13.2 Developer cooperation -, 13.3 Customer agrees to hold
Developer harmless --,
13.4 Conformity, Performance, and Compliance --, Make sure you know in advance who
owns what and at what point. If you put something into your web site that is unique to your
company, someone else may try to steal it from you. You may need your web developer to
testify for you. Will they? Under what conditions?, It is ultimately your site and most
developers want you to take responsibility for the contents. It is not unusual for the
developer to want you to assume all responsibilities for the content in the event that
someone claims infringement or damages.]

Section 14 - TERM AND TERMINATION --
[14.1 Term of Agreement --,
14.2 Termination of Work --,
14.3 Survival --, Get it in writing when the contract is completed, when final payments are
due, what rights you have in terminating the contract, what happens if the project is
terminate before it is done, etc.]

Section 15 - MISCELLANEOUS --
[lots of standard clauses, Force Majeure, No Agency, Multiple, Counterparts, Authority To
Enter Into Agreement, Section Headings; Exhibits, No Waiver, Governing Law/Consent To
Jurisdiction And Venue, Entire Agreement, Neutral Construction, Unenforceability, Time Of
The Essence, Notices, No Assignment, etc.]

© 2001 - Barry Wrrobel - Discovery Data Systems, inc.
(note: Set left and right printer margins to 0.25" for printing)