Data Services Agreement

As businesses continue to rely more and more on data to streamline their operations and gain insights, the importance of data services agreements (DSAs) has grown. A DSA is a contract between two parties that outlines the terms and conditions for the processing, storage, and management of data.

A well-crafted DSA can help protect both parties by setting clear expectations and establishing accountability for each party`s responsibilities. Here are some key elements to keep in mind when drafting a DSA:

Data Ownership

The DSA should clearly define who owns the data being processed, stored, and managed. This can be critical in terms of protecting sensitive business information and ensuring compliance with data protection regulations.

Data Collection and Use

The DSA should outline the types of data being collected and used, the purposes for which it will be used, and any restrictions on how it can be processed and shared. This can cover issues such as data security, privacy, and consent.

Data Processing and Storage

The DSA should include details regarding the processing and storage of data, including how it will be protected, how long it will be retained, and who will have access to it.

Service Level Agreements

The DSA should define the service level agreements (SLAs) agreed upon by both parties. This can include guarantees for data availability, response times, and problem resolution.

Data Breaches and Remedies

The DSA should set out the procedures to be followed in the event of a data breach and the remedies available to the parties in such an event.

Termination and Exit Strategy

The DSA should include provisions allowing either party to terminate the agreement, as well as details about how data will be returned or deleted at the end of the agreement.


A well-crafted DSA can help protect businesses that rely on data services by setting clear expectations and establishing accountability for each party`s responsibilities. By covering key issues such as data ownership, collection and use, processing and storage, service level agreements, data breaches and remedies, and termination and exit strategy, businesses can ensure that they are adequately protected in the event of any issues that may arise.

Author: marcos