Industry standards clause: Copy, customize, and use instantly
Introduction
An industry standards clause sets the expectation that the goods, services, or deliverables provided under an agreement will meet the applicable standards and regulations of the relevant industry. This clause ensures that the performance of the parties complies with recognized norms, regulations, and best practices in the industry, providing a clear benchmark for quality and compliance.
Below are templates for industry standards clauses tailored to different scenarios. Copy, customize, and insert them into your agreement.
Standard industry standards clause
This version includes basic provisions for adhering to industry standards.
[Party B] agrees to provide goods and services that meet or exceed the industry standards applicable to the [relevant industry]. These standards include any regulations, codes, or guidelines that are recognized by professional bodies or regulatory authorities. [Party A] reserves the right to request verification that [Party B]’s deliverables comply with these standards.
Industry standards clause with provision for compliance with regulatory requirements
This version applies to regulatory compliance.
[Party B] must ensure that all goods, services, and deliverables comply with the relevant regulatory standards, as well as any applicable laws and regulations in the [relevant jurisdiction]. [Party A] may request documentation demonstrating compliance with these industry standards at any time during the term of this Agreement.
Industry standards clause with provision for updates to industry standards
This version allows for updates to standards.
The parties agree to review and update the industry standards referenced in this Agreement periodically to reflect any changes in applicable laws, regulations, or industry practices. Any changes to the standards will be mutually agreed upon and incorporated into the Agreement.
Industry standards clause with provision for third-party certification
This version requires third-party certification.
[Party B] will ensure that all goods and services provided under this Agreement are certified by an accredited third-party organization that verifies compliance with industry standards. Documentation of such certifications must be provided to [Party A] upon request.
Industry standards clause with provision for non-compliance penalties
This version applies penalties for non-compliance.
If [Party B] fails to meet the industry standards as outlined in this Agreement, [Party B] will be liable for a penalty of [X] dollars for each instance of non-compliance. These penalties will be deducted from any payments due to [Party B] under this Agreement.
Industry standards clause with provision for inspection and auditing
This version includes inspection and auditing provisions.
[Party A] reserves the right to conduct inspections or audits to verify that the goods or services provided by [Party B] meet industry standards. [Party B] will fully cooperate and provide all necessary documentation for these inspections.
Industry standards clause with provision for compliance with international standards
This version applies to international standards.
[Party B] agrees to comply with the relevant international industry standards, including those set by international regulatory bodies or organizations. These standards will be incorporated into the Agreement as a benchmark for the goods or services provided.
Industry standards clause with provision for adherence to best practices
This version requires adherence to best practices.
[Party B] will provide goods and services in accordance with the best practices recognized in the industry, ensuring that performance is consistent with the highest professional standards.
Industry standards clause with provision for continuous compliance
This version applies continuous compliance.
[Party B] agrees to continuously monitor and ensure that all deliverables remain in compliance with applicable industry standards throughout the term of the Agreement. Any changes to the standards will be immediately addressed by [Party B] to ensure ongoing compliance.
Industry standards clause with provision for industry certification requirements
This version applies to industry certifications.
[Party B] must hold the necessary certifications for the industry in which it operates. All goods and services provided under this Agreement must meet the quality standards as defined by these certifications. [Party A] may request copies of certification documents at any time.
Industry standards clause with provision for corrective action in case of non-compliance
This version includes corrective actions.
If [Party B] fails to meet the industry standards during the term of this Agreement, [Party A] will notify [Party B] in writing. [Party B] will have [X] days to take corrective action to remedy the situation. Failure to do so will result in penalties or termination.
Industry standards clause with provision for dispute resolution in case of non-compliance
This version applies dispute resolution.
In the event of a dispute regarding compliance with industry standards, the parties agree to first attempt to resolve the issue through negotiation. If resolution cannot be reached, the parties will submit the dispute to arbitration, as outlined in Section [X].
Industry standards clause with provision for reliance on industry associations' guidelines
This version incorporates industry associations' guidelines.
[Party B] will follow the guidelines set by relevant industry associations, including any standards or practices that have been endorsed by these associations. Any updates to these guidelines will be implemented by [Party B] as required.
Industry standards clause with provision for third-party inspections to ensure compliance
This version involves third-party inspections.
[Party A] may engage an independent third party to inspect and verify that [Party B]’s goods or services comply with the agreed industry standards. [Party B] will bear the costs of the third-party inspection if non-compliance is found.
Industry standards clause with provision for compliance with environmental standards
This version applies to environmental standards.
[Party B] will ensure that all goods or services provided under this Agreement meet the environmental industry standards and regulations. These standards include compliance with applicable environmental laws, energy efficiency, and sustainability guidelines.
Industry standards clause with provision for modification due to evolving standards
This version allows modification due to evolving standards.
As industry standards evolve, [Party B] agrees to modify its goods or services to comply with the most current standards. Any required modifications will be implemented within [X] days of notification of the updated standards.
Industry standards clause with provision for certification of materials
This version applies to certification of materials.
[Party B] will ensure that all materials used in the provision of goods or services are sourced from certified suppliers and meet the relevant industry standards. [Party B] will provide certification documentation upon request.
Industry standards clause with provision for compliance with safety regulations
This version applies to safety regulations.
[Party B] will adhere to all safety regulations and standards applicable to the industry in which it operates. This includes compliance with OSHA regulations and other relevant local and international safety guidelines.
Industry standards clause with provision for compliance with technological standards
This version applies to technological standards.
[Party B] will provide goods or services that meet the applicable technological industry standards, including those related to data security, system interoperability, and performance. [Party B] will stay updated with any changes to these standards and implement necessary adjustments.
Industry standards clause with provision for environmental sustainability compliance
This version applies to sustainability.
[Party B] agrees to comply with environmental sustainability standards recognized in the industry. This includes minimizing waste, using eco-friendly materials, and ensuring that the environmental impact of production processes is minimized in accordance with the highest industry standards.
Industry standards clause with provision for adherence to quality control procedures
This version applies to quality control procedures.
[Party B] will implement quality control procedures that are consistent with industry best practices to ensure the goods or services provided meet the agreed-upon standards. [Party A] reserves the right to review and approve these procedures.
Industry standards clause with provision for compliance with safety and security protocols
This version applies to safety and security.
[Party B] will ensure that all goods and services meet safety and security industry standards. This includes compliance with physical safety protocols as well as data protection and cybersecurity standards to prevent any security breaches.
Industry standards clause with provision for adherence to ethical standards
This version applies to ethical standards.
[Party B] will adhere to the highest ethical standards in the industry, including fair labor practices, transparency, and anti-corruption policies. [Party A] reserves the right to audit [Party B]’s compliance with these ethical standards as part of the quality checks.
Industry standards clause with provision for monitoring compliance throughout the term
This version applies to ongoing compliance monitoring.
[Party A] will monitor [Party B]’s compliance with industry standards throughout the term of this Agreement. If any issues arise, [Party B] will be required to take corrective actions within [X] days. Ongoing failure to meet industry standards may result in termination of the Agreement.
Industry standards clause with provision for inspection upon request
This version applies to inspections upon request.
[Party A] has the right to request an inspection of [Party B]’s operations or facilities at any time during the term of this Agreement to verify compliance with industry standards. [Party B] will ensure that the facilities are accessible for such inspections with reasonable notice.
Industry standards clause with provision for regular updates
This version includes regular updates.
[Party B] agrees to regularly update its practices and procedures to comply with evolving industry standards. Any such updates will be communicated to [Party A] within [X] days, and adjustments will be made to the Agreement as needed to reflect these changes.
Industry standards clause with provision for use of certified suppliers
This version applies to certified suppliers.
[Party B] will use only certified suppliers who adhere to relevant industry standards in the production of goods or services. [Party A] reserves the right to audit [Party B]’s supply chain to ensure compliance with this requirement.
Industry standards clause with provision for adherence to operational benchmarks
This version applies to operational benchmarks.
[Party B] will comply with operational benchmarks that are consistent with industry standards for efficiency, safety, and quality. These benchmarks will be reviewed quarterly to ensure that performance continues to meet or exceed industry norms.
Industry standards clause with provision for adherence to best safety practices
This version applies to safety practices.
[Party B] will ensure that all safety protocols and procedures align with industry best practices. This includes compliance with workplace safety regulations, emergency preparedness standards, and any other safety-related requirements that are applicable.
Industry standards clause with provision for periodic compliance reviews
This version applies to periodic reviews.
[Party A] reserves the right to conduct periodic reviews of [Party B]’s compliance with industry standards. These reviews will be conducted at least once every [X] months and may involve on-site inspections and document verification.
Industry standards clause with provision for adherence to environmental certifications
This version applies to environmental certifications.
[Party B] agrees to ensure that all goods and services comply with environmental industry certifications, such as ISO 14001 or other relevant environmental management standards. Proof of compliance must be provided to [Party A] upon request.
Industry standards clause with provision for compliance with data privacy laws
This version applies to data privacy.
[Party B] will adhere to all relevant industry standards concerning data privacy and protection, including compliance with [relevant data privacy laws]. [Party A] may request evidence of compliance with these standards during the term of this Agreement.
Industry standards clause with provision for the use of industry-specific software and tools
This version applies to software and tools.
[Party B] will use only software, tools, and systems that meet or exceed industry standards for security, functionality, and performance. [Party A] may require confirmation that these tools are properly licensed and compliant with applicable regulations.
Industry standards clause with provision for adherence to manufacturing standards
This version applies to manufacturing standards.
[Party B] will manufacture all goods in accordance with applicable manufacturing industry standards, including those set by [specific regulatory bodies]. [Party A] will have the right to request documentation of compliance with these standards at any time.
Industry standards clause with provision for ongoing monitoring of performance
This version applies to performance monitoring.
[Party A] will monitor [Party B]'s performance throughout the term of this Agreement to ensure adherence to industry standards. If performance deviates from the expected standards, [Party B] will be required to implement corrective actions within [X] days.
Industry standards clause with provision for certification audits
This version involves certification audits.
[Party A] may request certification audits to verify that [Party B] meets the required industry standards. These audits will be conducted by an accredited third-party and will be at [Party B]’s expense if non-compliance is found.
Industry standards clause with provision for meeting standards specific to [relevant sector]
This version applies to sector-specific standards.
[Party B] agrees to comply with all industry standards specific to the [relevant sector, e.g., construction, healthcare, technology, etc.]. These standards include compliance with all local, national, and international regulations as they pertain to the sector.
Industry standards clause with provision for compliance with health and safety laws
This version applies to health and safety.
[Party B] will ensure that all goods or services provided comply with the applicable health and safety standards. This includes meeting any required local, national, or international health and safety laws, as well as ensuring that employees and end-users are protected from harm.
Industry standards clause with provision for verification by an accredited body
This version allows verification by an accredited body.
[Party A] may request verification of [Party B]’s compliance with industry standards by an accredited body. [Party B] agrees to submit to this verification and to bear the cost if the verification process reveals non-compliance with the standards.
Industry standards clause with provision for compliance with ethical industry practices
This version applies to ethical practices.
[Party B] will comply with the ethical standards set forth by industry regulators and associations, including fair labor practices, anti-corruption policies, and adherence to social responsibility guidelines. [Party A] will be notified of any updates or changes to these practices.
Industry standards clause with provision for inspection of compliance records
This version applies to compliance records inspection.
[Party A] reserves the right to inspect [Party B]'s compliance records to verify that the goods and services provided meet industry standards. These records must be maintained by [Party B] and made available upon request.
Industry standards clause with provision for early notification of standard changes
This version requires early notification of changes.
[Party B] will promptly notify [Party A] of any changes to the industry standards that may affect the goods or services provided under this Agreement. [Party B] will implement the necessary adjustments to comply with the updated standards.
Industry standards clause with provision for inspection during key project phases
This version applies to key phases.
During key phases of the project, [Party A] will conduct inspections to ensure compliance with industry standards. These inspections will be conducted upon the completion of critical milestones, and [Party B] will address any deficiencies identified.
Industry standards clause with provision for compliance with quality assurance processes
This version applies to quality assurance processes.
[Party B] will implement quality assurance processes that meet or exceed industry standards to ensure the quality and reliability of the goods or services provided. [Party A] reserves the right to review and approve these processes during the term of the Agreement.
Industry standards clause with provision for penalties for failure to meet standards
This version includes penalties for failure to meet standards.
If [Party B] fails to meet the applicable industry standards during any inspection, [Party A] may impose a penalty of [X] dollars per instance of non-compliance. These penalties will be deducted from payments owed to [Party B] under this Agreement.
This article contains general legal information and does not contain legal advice. Cobrief is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.