Master Service Agreement (MSA)

A master service agreement (MSA) is the main contract between you and a vendor. It sets the general rules on payment, liability, data and termination, while separate order forms cover each purchase.

What is a master service agreement?

A master service agreement (MSA) is the main contract between you and a vendor. It sets the rules for everything you buy from that vendor: payment, liability, data protection, termination and how disputes are handled.

The word "master" means it sits above the individual deals. Each purchase is written up in a separate order form that lists the product, price, quantity and term. The MSA stays in place while order forms come and go.

In SaaS you will also see the names "master subscription agreement" and "main services agreement." In 2020 Salesforce's contract was titled Master Subscription Agreement, and the current version is titled Main Services Agreement.

MSAs are common in sales-led deals where you talk to a vendor's team before you buy. Self-serve plans often run on a click-through terms of service instead. The page on MSA vs terms of service explains how the two differ.

What it looks like in a vendor's terms

A typical clause reads like this:

This Agreement governs Customer's use of the Services purchased under each Order Form. The Agreement includes the policies and documents linked in it, as updated from time to time. If an Order Form conflicts with this Agreement, the Order Form controls for that order only.
  • "Purchased under each Order Form": you agree to the general terms once, and every later purchase falls under them.
  • "Policies and documents linked in it": parts of the contract live at web addresses, not in the signed file. This is called incorporation by reference.
  • "As updated from time to time": the vendor can edit those linked pages, and the new version may apply to you.
  • "The Order Form controls": a deal-specific term, like a price cap, can override the general rule. This is an order of precedence rule.

Salesforce's Main Services Agreement ranks its documents in this order: Order Form, then the agreement, then its Documentation, which it describes as "as updated from time to time" (sections 1 and 12.3).

A real change we caught

Venpo flagged a change in which Cloudinary added a 3% annual fee increase to its enterprise agreement. A price rule in a main agreement can reach every order placed under it, so it is worth comparing with the pricing terms in your own order form.

Why it matters to you

The MSA decides most of what happens when something goes wrong. Your order form says what you pay. The MSA says what happens if you pay late, if the vendor has an outage, or if your data leaks.

  • Money. Salesforce's MSA makes invoiced fees due within 30 days and lets overdue amounts accrue interest of 1.5% per month (sections 5.2 and 5.3). Small clauses like these add up.
  • Renewal price. The same MSA says promotional or one-time priced subscriptions renew at Salesforce's list price unless an order form says otherwise (section 11.2).
  • Your data. Many MSAs pull in a data processing agreement by reference. Salesforce's does this in section 2.2.
  • Terms that move. Atlassian's agreement includes its policies, product-specific terms and DPA, and lets Atlassian modify all of them. It promises commercially reasonable efforts to post changes 30 days before they take effect (section 20.9).
  • Your own customers. If you promise your customers uptime, security or data deletion, your vendor's MSA needs to support those promises. The limitation of liability clause decides how much you can recover if it does not.

What to check

  • List every document the MSA pulls in: terms, DPA, acceptable use policy, SLA, security pages. Save a copy of each one on the day you sign.
  • Check whether linked documents are fixed as of the signing date or apply "as updated." Ask for the fixed version if the vendor will agree.
  • Read the change clause. Look for a notice period, a right to object, and a refund if you leave because of a change.
  • Find the order of precedence clause and confirm that your order form wins on price and term.
  • Check how renewal pricing works: list price, a fixed cap, or whatever the order form says.
  • Read the liability cap and the data protection section, or the DPA it points to, before anyone uploads customer data.

How Venpo helps

An MSA often points to online documents that can change after you sign. Venpo monitors those public pages, such as the vendor's terms, DPA, subprocessor list and policies, and emails you a plain-English alert that says what changed and why it matters. Each vendor also gets a change history, so you can see how its linked documents have changed over time.

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Frequently asked questions

Is a master service agreement legally binding?

Yes. An MSA is a contract, and once you sign or accept it, its terms apply to every purchase made under it. Together with your order forms, it makes up the full deal.

Do I need a new MSA every time I buy from the same vendor?

No. You sign the MSA once and add a new order form for each purchase. The order form lists the product, price and term, and the MSA covers everything else.

Can a vendor change an MSA after I sign it?

It depends on the change clause. Some MSAs let the vendor modify the agreement with notice, while others need a signed amendment. Linked online documents can often change without your signature, so check how each one is pulled in.

What is the difference between an MSA and a statement of work?

An MSA sets the general rules for the relationship. A statement of work describes one specific project, such as an implementation, with its tasks, deliverables and fees, and it runs under the MSA.

Related terms

Comparisons MSA vs Terms of Service A master service agreement (MSA) is a contract you negotiate and sign with a vendor. Terms of service are standard online terms the vendor writes and you accept by clicking or using the product. When both exist, the documents themselves decide which one wins. Vendor Documents Order Form An order form is the document that records one purchase from a vendor: what you buy, how many seats, the price, the term and the renewal date. It sits on top of the main agreement and often overrides it. Vendor Documents SaaS Agreement (Subscription Agreement) A SaaS agreement, or subscription agreement, is the contract for using cloud software for a set period. It is often a bundle: a main agreement, an order form, a DPA and online policies, some of which the vendor can change. Vendor Documents Incorporation by Reference Incorporation by reference means a contract makes another document part of itself by pointing to it, often by a web link. If the linked page applies as updated, the vendor can change your contract by editing that page. Vendor Documents Order of Precedence Clause An order of precedence clause says which document wins when parts of a contract disagree, such as the order form, main agreement, DPA and online policies. It decides whether the terms you negotiated hold up. Liability and Risk Limitation of Liability A limitation of liability clause caps how much a vendor must pay you if something goes wrong, often at the fees you paid over a set period, and excludes certain losses such as lost profits or data.

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