A standardized user form contract protects an organization’s rights, maximizes its remedies, and increases the efficiency of the procurement process. Developing a standardized set of user form contracts is well worth the time and effort.

What Is a User Form Contract?

A user form contract outlines the terms and conditions under which a customer is willing to acquire certain equipment, software, or services. Vendors typically put forward their own contract as the "model" or starting point for negotiations - the contract has been pre-approved by their in-house legal counsel and reflects their (typically biased) position. In the case of user form contracts, the terms have been pre-approved by the buyer’s legal counsel and present a position favorable to them. This approach optimizes a buyer’s position going into a negotiation and reduces time spent by legal counsel reviewing vendor contracts.