Term Contract Notes: Definitions & Explanations PDF | Download eBooks
Study Term Contract lecture notes PDF with project management definitions and explanation to study What is Term Contract?. Study term contract explanation with project management terms to review project management course for online MBA programs.
Term Contract Definition:
In term contract, the contractor is required to deliver a specific "level of effort", not an end product.
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Term Contract Notes:
The award cycle of the procurement process ends with signing a contract with the selected supplier or vendor who is responsible to provide the products, services or other items and supplies to the buyer. When a suitable supplier or vendor is selected, contract is made between both the parties. Different types of contracts can be used in the award cycle based on the situation and terms and conditions. One type among them is called term contract. Term contract refers to a specific level of effort that is expected of the supplier. The effort can be in working hours, particular skills, services or facilities performed over a defined time period. The level of effort must be mentioned in the contract and when that level is achieved, the contract is completed and final payments are made to the supplier/contractor.
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