Mobile app development contract template

Mobile App Development Contract

Contract no.: Contract number

Date: Contract date

Place: City of signing

Parties

First Party (Client): First party name, CR / ID no. First party CR, national address: First party address, e-mail: First party e-mail, mobile: First party mobile, represented by First party signatory as First party signatory title.

Second Party (Developer): Second party name, CR / ID / freelance document no. Second party CR, VAT no.: Second party VAT no., national address: Second party address, e-mail: Second party e-mail, mobile: Second party mobile, represented by Second party signatory as Second party signatory title.

Article 1: Recitals and definitions

1.1 Whereas the Client wishes to have the mobile app developed, and the Developer has the experience and team needed, the parties agree as follows.

1.2 The recitals and schedules form an integral part of this Contract and are read with it. In a conflict, this Contract prevails, then the schedules in numerical order, then any earlier offer or correspondence.

1.3 In this Contract: "Contract" means this contract and its schedules. "Fee" means the amount due to the Second Party under the article on consideration. "Business Day" means any day other than Friday, Saturday and an official holiday in the Kingdom of Saudi Arabia. "Laws" means the laws and regulations in force in the Kingdom.

1.4 Each party confirms that it has legal capacity to contract, that its signatory is authorised, and that entering into this Contract breaches no other obligation binding on it.

Article 2: Subject and scope

2.1 The Developer shall design, develop, test and deliver the mobile app to the Client under the requirements document in Schedule 1.

• Platforms: iOS / Android. Screens: Number of screens. Features: App features.

• Admin panel, servers, payment gateways and notifications: Back-end services.

• Revision rounds included per phase: Revision rounds; anything more is a change request.

• Supported languages, devices and browsers: Supported languages and devices.

2.2 The scope covers only what is expressly stated. Any additional work falls under the article on changes, and no payment is due for it unless agreed in writing.

Article 3: Deliverables and timetable

| Deliverable | Description | Due date |

| --- | --- | --- |

| Phase 1 | Phase 1 deliverables | Phase 1 date |

| Phase 2 | Phase 2 deliverables | Phase 2 date |

| Final delivery | Final deliverables | Final date |

3.1 If the Developer expects to miss a date, it shall notify the Client in writing as soon as it knows, stating the cause and a proposed new date. Notice does not amount to approval of the delay.

3.2 A date is extended by any delay caused by the Client in providing information, approvals or access.

Article 4: Term

4.1 This Contract starts on Start date, runs for Contract term and ends on End date.

4.2 It renews for equal periods unless either party gives written notice of non-renewal 60 days before expiry.

4.3 Provisions which by their nature survive continue after the Contract ends, including confidentiality, dues, liability and disputes.

Article 5: Consideration and payment

5.1 The Client shall pay the Developer a total Fee of SAR Total contract value (in words: Value in words), according to this table.

| Instalment | Share or amount | When due |

| --- | --- | --- |

| Advance payment | Advance payment (30%) | On signature |

| Milestone payment | Milestone payment (40%) | Milestone date |

| Final payment | Final payment (30%) | After final acceptance |

5.2 The Developer shall issue an electronic tax invoice meeting the requirements of the Zakat, Tax and Customs Authority when each instalment falls due. The Client shall pay within 30 days of receipt, by transfer to IBAN IBAN, account name Account holder, bank Bank name.

5.3 Amounts are inclusive / exclusive of value added tax at the statutory rate (15% at the date of this Contract). If the Laws change the rate, the new rate applies.

5.4 If the Client disputes an invoice, it shall state the reason in writing within 10 Business Days of receipt and pay the undisputed part on time. The dispute is resolved under the article on disputes.

5.5 If payment is more than 15 days late after notice, the Developer may suspend performance until paid, with dates extended accordingly, and the Client bears the documented actual costs of collection. No interest accrues on late payment.

5.6 Where payment is by instalments and two consecutive instalments are late, the Developer may claim at once all instalments due for work actually performed.

5.7 Set-off is allowed only for a fixed, due debt admitted in writing or established by a judgment. The Fee covers all the Developer's costs unless expressly stated, and prices do not change during the term except by written agreement.

Article 6: Service levels (SLA)

6.1 The Developer shall meet the following service levels, measured monthly, and shall report the results within 5 Business Days after each month ends.

| Measure | Required level | How measured |

| --- | --- | --- |

| Response to a normal call | Normal response time working hours | Call log |

| Response to an urgent call | Urgent response time hours | Call log |

| Time to fix or complete | Completion time Business Days | Call log |

6.2 These levels apply during the warranty period and any later support contract. Service after warranty: Post-warranty support.

6.3 Support hours: Support hours. Approved request channel: Request channel.

6.4 If a service level is missed in a month, 5% of that month's Fee is credited for each level missed, up to 15% of the month's Fee. These credits are agreed compensation for the reduced service.

6.5 If the same service level is missed for 3 consecutive months, or 5 times in any 12 months, the Client may terminate on 30 days' written notice without paying compensation.

6.6 The following do not count as a failure: scheduled maintenance announced 48 hours ahead, force majeure, and anything caused by the Client, its systems or its suppliers.

Article 7: Obligations of the parties

7.1 The Developer shall:

• follow secure development practice, fix known vulnerabilities before delivery, and give the Client a test environment.

• hold a progress meeting every Meeting frequency and appoint a project manager: Delivery manager.

• prepare the app to meet store rules and publish it under the Client's accounts, fixing free of charge any rejection caused by its work.

• perform with the usual professional care and skill, using qualified and, where required, licensed staff, and comply with the Laws including labour and safety rules.

7.2 The Client shall:

• provide content, logos and requirements on time, and approve the requirements document before work starts.

• pay the Fee on time, appoint an authorised representative for communication and decisions: First party representative, and answer requests for approval within 5 Business Days.

7.3 The parties shall perform this Contract in good faith and in keeping with its nature.

Article 8: Delivery and acceptance

8.1 Acceptance tests run in the test environment against the criteria in Schedule 1. Defects are critical, major or minor; a minor defect does not block acceptance but shall be fixed during the warranty period.

8.2 The Client shall inspect each delivery within 10 Business Days and accept it or state in writing how it fails to conform. Silence after that period counts as acceptance.

8.3 The Developer shall correct any non-conformity free of charge within 10 Business Days. After two failed attempts the Client may terminate the affected part and recover what it paid for it.

8.4 The Developer warrants that its work conforms to this Contract for 90 days from acceptance, and shall fix any defect not caused by misuse or by changes made by others.

Article 9: Delay damages

9.1 If the Developer misses an agreed date for a reason attributable to it, the Client is entitled to agreed damages of 0.5% of the value of the delayed part per week of delay, up to 10% of the Contract value.

9.2 The parties agree this is a reasonable estimate of the loss at the date of this Contract, without prejudice to the power of the competent authority to adjust it under the Civil Transactions Law.

Article 10: Changes

10.1 A change request is made in writing, and the other party shall reply within 5 Business Days stating its effect on price and time.

10.2 No change takes effect or is payable without a written annex signed by both parties. Where the price is a lump sum, the Developer may not claim an increase because costs rose, except by written agreement.

Article 11: Confidentiality

11.1 Each party shall keep the other's non-public information confidential, use it only to perform this Contract, and disclose it only to staff and advisers who need it and are bound by confidentiality.

11.2 This excludes information that is public through no fault of the recipient, or that a competent authority lawfully requires, provided the other party is told where possible. The duty lasts 3 years after the Contract ends, and information is returned or destroyed on request.

Article 12: Personal data protection

12.1 The parties shall comply with the Personal Data Protection Law and its regulations. Where the Developer processes personal data for the Client, it acts as processor and processes it only on the Client's written instructions and for the purpose of this Contract.

12.2 The Developer shall apply suitable security and technical measures, limit access to those who need it, and use a sub-processor only with the Client's prior written approval and on equivalent terms.

12.3 The Developer shall notify the Client of any leak or unauthorised access without delay and within 24 hours of becoming aware, with the information the Client needs to report to the competent authority within the statutory 72 hours.

12.4 Data leaves the Kingdom only in line with the statutory controls. When the Contract ends, data is returned or securely deleted within 30 days unless a law requires it to be kept.

Article 13: Intellectual property

13.1 Each party keeps the rights, materials and tools it owned before this Contract.

13.2 Rights in deliverables made specifically for the Client pass to it once they are paid for in full, with a non-exclusive licence to any Developer tools built into them, as needed to use them.

13.3 The Developer warrants that its work infringes no third-party rights and shall bear the consequences of any such claim, provided it is told promptly and allowed to defend it.

Article 14: Liability and indemnity

14.1 Each party bears the direct loss it causes the other by breach of this Contract, and the injured party shall take reasonable steps to limit that loss.

14.2 Neither party's liability shall exceed the total Fee paid and payable in the 12 months before the claim, and neither party is liable for loss of profit or indirect loss.

14.3 These limits do not apply to fraud, gross error or a harmful act, nor to the duty to pay the Fee, nor to breach of confidentiality, data protection or intellectual property rights, to the extent the Laws require.

14.4 A claim for compensation is sent by written notice stating its cause and amount within 60 days of the party learning of it, without waiving any statutory right.

14.5 Throughout the term the Developer shall keep the insurance required by law and for this type of work, and shall provide proof on request: Required insurance.

Article 15: Force majeure and exceptional circumstances

15.1 A party is not liable for delay or failure caused by an event beyond its control that was unforeseeable and unavoidable, provided it notifies the other within 7 days and makes reasonable efforts to limit the effect. Force majeure does not excuse paying what fell due before it occurred.

15.2 Affected obligations are suspended for the duration. If the event lasts more than 60 days, either party may terminate by written notice, with payment for work actually performed.

15.3 If unforeseeable general exceptional circumstances make performance so onerous as to threaten a heavy loss, the affected party may request renegotiation without delay while continuing to perform, as provided by the Civil Transactions Law.

Article 16: Termination and settlement of dues

16.1 Either party may terminate without cause on 60 days' written notice. The Developer is paid for work done up to termination and for documented costs that cannot be cancelled.

16.2 Either party may terminate by written notice, without a court order, if the other commits a material breach and fails to cure it within 30 days of notice, or becomes insolvent or subject to liquidation under the Bankruptcy Law.

16.3 When the Contract ends for any reason, the Developer shall hand over completed work, files, materials and data within 15 days and shall cooperate in moving the work to the Client or its nominee for a transition period of up to 30 days, at a reasonable agreed price.

16.4 Within 30 days the parties shall prepare a final settlement statement showing work done, sums paid and any deductions, and the balance is paid within 15 days of approval. Termination does not affect rights that arose earlier.

Article 17: Source code and open-source components

17.1 On final acceptance the Developer shall hand over the source code, access details and technical documents in a repository owned by the Client, and keeps no access afterwards without approval.

17.2 The Developer shall list every open-source library or third-party service it uses and its licence terms, and shall use nothing that forces the Client to disclose its code or pay fees unless the Client approves.

17.3 Domain, hosting and app-store accounts stay in the Client's name and at its cost unless agreed otherwise.

Article 18: General provisions

18.1 Notices are in writing and sent to the addresses at the head of this Contract; the registered e-mail is valid, and a notice counts as received on the next Business Day. Each party shall report any change of address.

18.2 Neither party may assign this Contract or subcontract without the other's prior written approval, and it remains responsible for its subcontractors.

18.3 Delay in using a right does not waive it, and this Contract changes only by a signed written annex. If a provision is void the rest stays in force, unless that provision was the reason for contracting.

18.4 The parties shall comply with the rules against bribery, corruption and money laundering. Neither is the agent, partner or employer of the other, and each bears the obligations of its own staff.

18.5 This Contract may be signed electronically under the Electronic Transactions Law, and electronic signatures and records have their legal force. It is made in two copies, one for each party.

Article 19: Governing law and disputes

19.1 This Contract is governed by the laws of the Kingdom of Saudi Arabia, including the Civil Transactions Law, and in a manner consistent with Islamic Sharia.

19.2 The parties shall try to settle any dispute amicably through their representatives within 30 days of notice, and may then use conciliation through the Taradhi platform.

19.3 If it remains unresolved, it shall be decided by: Forum: the competent courts in the city of ... / arbitration under the rules of the Saudi Center for Commercial Arbitration, seated in .... The parties shall keep performing whatever the dispute does not affect.

19.4 Where made in Arabic and English, the Arabic text prevails in any difference.

Schedules

• Schedule 1: detailed scope and specifications.

• Schedule 2: prices and payments.

Signatures

The parties sign this Contract after reading and accepting all of its terms.

| First Party (Client) | Second Party (Developer) |

| --- | --- |

| Name: First party signatory | Name: Second party signatory |

| Signature: First party signature | Signature: Second party signature |

| Date: Signing date | Date: Signing date |