Facilities Management Agreement Template (A224)

Who can use this Facilities Management Agreement?

This facilities management contract is for use by a service provider who supplies facilities management services to a client

What is this Facilities Management Agreement for?

The contract is suitable for a range of services from property management and maintenance to cleaning services and for schools, hospitals, and a wide range of public or private buildings and services.

While written from the Service Provider’s point of view, it is a fairly balanced contract and should be acceptable to any reasonable client in the private or public sector.

What are the main issues?

Facilities management (FM) agreements can be quite complex as they tend to cover a wide range of activities over a long term.

So you need to identify the services carefully, dividing these between routine and special services. There may be purchase order forms to be issued by the client for some services.

Fees and payment can again be relatively complex with a fixed annual or monthly rate for basic services and then daily rates for specified activities. Reimbursable expenses also need to be identified.

The agreement should set out the agreed standard of services as well as deal with the qualifications and capacity of personnel.

The client will want the right to inspect services and the service provider will need to report regularly in an agreed format.

The service provider will want a reasonable limit on liability.

Since disputes can arise, the agreement can usefully include a variety of different dispute resolution mechanisms including mediation.

The FM agreement needs to have a clause dealing with termination as well as the consequences of termination which can be quite complicated as in many cases a lot of harm could be caused if services come to an abrupt stop.

What detailed terms does the contract contain?

Our facilities management agreement has a short one-page contract with a detailed set of terms and conditions plus schedules.

• definitions
• scope of contract
• duration
• service provider’s general obligations
• personnel
• client obligations
• representatives, liaison, performance monitoring and co-operation
• purchase orders
• variations
• inspection and reports
• price and payment
• warranties
• suspension
• termination
• intellectual property
• insurance
• liability
• force majeure
• confidentiality and publicity
• assignment and sub-contracting
• disputes & governing law
• notices
• a general clause detailing waiver, validity and the scope of the agreement

Four Schedules are also included, in order to detail description of services, contract price and fees, representatives and addresses, insurance and a form of purchase order.

For more information on each of these sections, see our Explanatory Notes  which you will  receive when you download the document from our website.

And if you want to use the Notes, let us know by using our contact form

For information on signing documents see our Contract Signing page

When I download the document, can I change it and/or use it more than once?

Yes, all ContractStore’s templates are in MS Word and you can use the contract on more than one project. For more information, watch the video on this page of our website or see our FAQs

Legal support

ContractStore supplies templates and is not a law firm. But experienced lawyers have written all our templates, so we can arrange legal assistance for customers who need special terms in one of our documents or a bespoke template.  For more information see our Legal Services page.

Contract Author – Giles Dixon, an English solicitor, with substantial experience of drafting and negotiating commercial contracts.

If you want to contact us see our Contacts page.