Terms and Conditions

Technology Terms and Conditions

Abstract: This White Paper discusses the risks and benefits of technology-related terms and conditions which can be included in IT procurement contracts. 

Keywords: clause, contract, information technology (IT), procurement, terms and conditions 

Summary: As transit agencies incorporate more technology into their operations, standards that guide the procurement of these technologies will improve the purchasing agencies’ and suppliers’ likelihood of achieving successful procurements. Technology procurements have inherent differences from other procurements that agencies process; therefore, guidance specific to technology will significantly improve the development of terms and conditions and risk management for these procurements. 

Scope and purpose: These guidelines can be used by public transit agencies procuring IT systems, ranging from the simple procurement of computer hardware and stand-alone software to the purchase of complex systems involving GPS technology, mobile data terminals, telecommunications, wireless and radio systems, software for scheduling and operations, Internet and automated rider information media. The guidelines are also useful when purchasing IT services, and for making sure the imbedded IT components of rail and bus equipment are properly evaluated.