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Click here to find out moreService levels are a critically important aspect of information technology agreements. While drafting appropriate service levels can be a challenging task as vendors and customers frequently struggle to set service levels appropriately and determine balanced remedies for service level failure, crafting good service levels is not enough. The parties and their attorneys also must think about and plan for additions to and deletions of service levels, as well as modifications to service levels, and how the agreement accommodates such changes. Further, adjustments to the service levels may become necessary at a later time and the agreement should include an appropriate process for ensuring that the actual service level changes as the quality of the vendor's service improves. Join Matt Karlyn and Aaron Tantleff of Foley & Lardner LLP as they discuss the recent case of State of Indiana v. IBM, where an IT service provider won a breach of contract claim despite performance that fell below agreed upon service levels, and how to properly craft service levels and service level agreements in light of that decision.
