Legal Insights

Is it time to review and replace your Digital Marketplace work order?

By Anthony Willis & Benjamin Duff

• 18 November 2020 • 2 min read

It might be time to review and refresh your work order by way of a new contract created under the MSA terms that have applied since 1 July 2019.

Have you procured ICT services by way of a contract created under the Digital Marketplace Master Services Agreement (MSA) that applied prior to 1 July 2019 (old MSA) and it is due for an extension or major change? Then now is an excellent time to review and refresh your work order by way of a new contract created under the MSA terms that have applied since 1 July 2019 (new MSA).

Importance of refreshing your work order

Any work orders issued before 1 July 2019 do not benefit from the ‘refreshed’ new MSA terms that have applied since 1 July 2019, which provide a much greater level of protection to agencies.

See below for a short summary of the additional matters covered by the new MSA and why transitioning to the new MSA terms might be of benefit to your agency.

The ‘New’ MSA – even better for service-based contracts

The new MSA expands on several of the clauses that we would sometimes need to amend for clients who were using the old MSA to put in place a service-based ICT contract.

Contracts entered into under the new MSA have a greater level of protection through new clauses that govern concepts such as service quality, deliverable acceptance and payment.

Further, the new MSA introduces concepts such as, ‘due skill and care’, which are important to have in a service-based agreement, and provides a mechanism to introduce further, more detailed, ‘Comprehensive Terms’ (discussed below).

Comprehensive Terms – providing more protection

The Comprehensive Terms are far more expansive in application than the base terms, and are recommended for any procurements valued at more than $80,000. Currently, a work order issued before 1 July 2019 does not benefit from these terms.

The Comprehensive Terms are drafted in line with Commonwealth Contracting Suite and SourceIT contracts. The Comprehensive Terms include clauses such as proportionate liability, IP indemnity and clauses needed to implement certain government policy requirements. This provides a much greater level of control for valuable ICT contracts.

Government entities at the local, state, territory or federal level and Commonwealth Corporate Entities can also use the Old and New MSA. This means that you may have a Digital Marketplace work order in place that should be reviewed.
We have already assisted several clients who were looking to extend their old work orders, to transition them to the new and more robust terms that apply under the new MSA and Comprehensive Terms.

Interested in exploring your Digital Marketplace work order?

Get in contact with the Procurement & Contracting team.

By Anthony Willis & Benjamin Duff

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