Question

A project manager is negotiating a hosting agreement with a cloud vendor for a customer-facing application. The vendor's proposed SLA guarantees 99.9% monthly uptime. The project manager wants to ensure that if the vendor fails to meet this uptime commitment, the organization is compensated without having to pursue formal legal action. Which SLA element should the project manager insist on including?

Accepted Answer

A service credit clause defining financial remedies when uptime targets are missed

Answer

A statement of work detailing the vendor's development deliverables and milestones

Answer

A force majeure clause excusing performance during unforeseeable events

Answer

A data residency clause specifying where customer data is physically stored