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A well-drafted SLA should impose consequences on service providers if service falls below agreed levels, for example, a service credit system where the provider pays you a set amount or delivers extra services at no additional cost each time the service provider fails to meet the agreed service levels. This encourages the provider to meet the SLA requirements. Be wary of accepting service credits as your sole remedy for failure to attain required service levels.
If the service level is below what has been agreed in the SLA, then it may be possible to terminate the arrangement if there is a suitable termination clause in the SLA. This should also allow for you to claim for damages, subject to any contractual limitations, for any loss you have suffered as a business resulting from the poor service levels, provided service credits have not been specified as the sole remedy for breach of the service levels under an SLA.
The potential for issues like this to arise highlights the importance of having a well-drafted SLA that covers all eventualities. Where there is no service credit system or carefully worded termination clause you could end up being stuck with a poor performing service provider for longer than you wish.
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Recent work
Sectors
Legal advice relating to a ransomware attack
Advising client whose supplier was subject to a ransomware attack. We act for a client in relation to the provision of IT Services from a supplier, who was subject to a ransomware attack leading to repercussions for our client. We are advising our client on their rights and potential claim to damages.
Advising retail solutions provider on cyber and data protection issues
Advising client on structure of framework contracts, master services arrangements and IT solutions, including data protection structure and processing provisions. Advising on international data transfers agreements, use of SCCs/International Data Transfer Agreement and Transfer Risk Assessment for adhering to technical and organisational and other data security measures.
Legal support to airline technical solutions provider
Advising on provision of SaaS service and data processing arrangements, including cross-border data transfer arrangements for airlines in different jurisdictions, international data transfer contracts and risk assessments, data security considerations and linking to cyber security insurance. Advising and drafting a Data Breach Policy and Data Retention and Deletion Policy (internal and external versions), to support GDPR compliance obligations.
Advising IT platform development and infrastructure provider
Advising on data protection matters, regulatory compliance and drafting suite of data protection documents including general Privacy Policy, Cookies Policy, Data Handling Policy, Employee Data Protection Policy, Data Protection Impact Assessments, Legitimate Interests Assessments, Subject Access Request Process, intra-company Data Sharing Agreements (including international data transfer provisions) and Data Retention Policy.
Web shop terms and data processing
Advising a plumbing fixtures manufacturer on an agreement with an Instagram influencer and their web shop terms, as well as the provision of advice relating to data processing.
Commercial Business Law
Insights
Insights
unpacking the High Court’s dismissal of privacy claims arising from unlawful information gathering in Baroness Lawrence v Associated Newspapers [2026] EWHC 1637.
18/09/2026
Events
In this latest webinar, our Immigration team willl provide an overview of what is changing, what it means for your business, and how your commercial contracts and service arrangements may be impacted by the extended liabilities pertaining to third party workers.
Media spotlight
Rustom Tata shares his insights with HR Magazine on the importance of assessing emotional intelligence and communication when recruiting new staff
Rustom Tata15/09/2026
Videos
In this session, our employment law experts will provide a practical update on the reforms already in force, what changes are on the horizon, and discuss what employers and HR teams should be doing to plan ahead.
14/09/2026
