If you are getting into an open-ended relationship where you have to execute project(s) with another party, then don’t forget to sign a Master Service Agreement (MSA).

With its sheer practicality, this agreement has turned out to be a better option as compared to various traditional project contracts. They are particularly designed to focus on projects that need statements of work or addendums to authenticate the services.

What Is a Master Service Agreement?

Master services agreement (MSA) is created between parties who agree to follow certain terms at the time of executing future transactions or agreements.

It allows the parties to negotiate and mutually carry out future agreements or transactions as it gives strong foundation to the activities performed.

Furthermore, it saves the time of negotiating the same terms every time as the parties get into an agreement. This means that they only have to focus on project-specific terms in order to rest assured about each other’s liabilities.

Why Do You Need a Master Service Agreement?

Marketing and digital sales organizations always want to have ongoing and long-term relationships with their clients. Since their preferable time span is 2 years or more, they have to get into a master service agreement to maintain focus on the projects coming through.

While they used to work on multiple projects with the same client, no party would want to keep on reviewing, negotiating and approving general terms and conditions.

Since it is a waste of time, businesses design MSAs that cover all common aspects for the future projects.

What Are the Advantages of a Master Service Agreement?

Since creating a master service agreement between two businesses requires a lot of time and efforts, they are always on the lookout for a reliable and long lasting solution. To save their money on legal fees and time, the best option is to design a master service agreement.

It includes all agreed points and terms by the two parties. This agreement doesn’t only speed up the negotiating process but will also ascertain protection of rights for both parties.

If there is a disagreement between the parties, which leads to a dispute, the master services agreement will decide who is responsible and have to give compensation to the other party.

Other than that, the MSA works as a good blueprint for future services. It is quite easy and companies can design it on their own.

Since every project has its own requirements, parties can focus on its template to carry out future negotiations. They are more focused towards those terms, thereby spending a limited time and money.

What Should the Master Service Agreement Cover?

To create a master services agreement, following 4 things should be considered:

  • Obligations for both parties
  • What each party should do
  • What the other party has to perform
  • Explanation of all responsible disputes or issues faced by either party

Its aim is to fasten the entire process. Here are the components that should be covered in a master service agreement:

  • Confidentiality: Parties shouldn’t share any information/secret about each other.
  • Delivery requirements: Both parties should know about their obligations.
  • Dispute resolution: The agreement must be clear about the future steps in case of any conflict or dispute between the parties.
  • Geographic location: The location of the project must be mentioned.
  • Intellectual property rights There must be mutual understanding about how to handle regulations and ownership of patents and other intellectual properties.
  • Limitations on liabilities: It must mention the responsible party in case of a lawsuit.
  • Venue of law: Place for legal resolution should be mentioned, be it a specific state, federal court or arbitration.
  • Work standards: Type and extent of the work must be mentioned in the agreement non-compliance of which would lead to disputes.
  • Warranties: The coverage and scope of the warranty must be clear.
  • Work standards: The MSA must explain acceptable work for each party so that there won’t be any dispute between them.
Don't forget to celebrate your signing experience!

CocoSign, is simply document signing for each business. You could build a stronger relationship and share your experience with each client and partner.


Now that you are aware of the importance of a master service agreement. It’s convenient to state the terms and clauses that can make things simple and easy for you by using the templates on CocoSign.

All you have to do is to figure out what to include and how to execute the services. Hence, don’t forget to get your desired agreement sample for free on our website


CocoSign represents a wide collection of legal templates covering all types of leases, contracts and agreements for personal and commercial use. All legal templates available on CocoSign shall not be considered as attorney-client advice. Meanwhile, CocoSign shall not be responsible for the examination or evaluation of reviews, recommendations, services, etc. posted by parties other than CocoSign itself on its platform.