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99.9% uptime.
Read the exclusions.

SLA credits capped at one month's fees. Unlimited maintenance windows. Uptime measured in a way that excludes most real outages. Kontractually reviews service level agreements against your playbook before you accept them.

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SLA review checklist

6 provisions to review in every service level agreement.

Kontractually checks these systematically - every SLA, every time.

1
Uptime commitment and measurement
What is the uptime SLA? 99.9% sounds high but allows 8.7 hours downtime per year. How is uptime measured? Calendar month vs rolling 30 days matters significantly.
2
Exclusions from SLA calculation
Scheduled maintenance windows, force majeure, and customer-caused outages are commonly excluded. How broad are these exclusions? Unlimited maintenance windows can render an SLA meaningless.
3
Remedy structure - credits vs termination
What remedies apply for SLA breach? Service credits are common but often capped at a small fraction of monthly fees. Is termination for cause available after repeated SLA failures?
4
Response and resolution timeframes
P1/P2/P3/P4 incident classifications with defined response and resolution times. Are resolution times guaranteed or just targets? Who determines the priority classification?
5
Escalation path
What is the escalation process for unresolved incidents? Is there executive escalation? Does the SLA define when a vendor's executive must be engaged?
6
Reporting and transparency
How often does the vendor report on SLA performance? Are reports automated? Can you audit the underlying data? Vendors should report, not self-certify.
FAQ

SLA review questions.

More questions? Email us.

99.9% uptime (three nines) allows approximately 8.7 hours of downtime per year, or 43.8 minutes per month. 99.95% (four nines) allows 4.4 minutes per month. 99.99% allows 52 seconds per month. The right SLA depends on the criticality of the service. For business-critical systems, 99.95% or better is typical. Kontractually flags SLA uptime commitments below your defined threshold.

SLA credits are typically calculated as a percentage of monthly fees for each hour or period of downtime beyond the SLA threshold. Common formulas: 10% credit per hour of excess downtime, capped at 100% of the monthly fee. The problem: credits rarely compensate for actual business impact. Kontractually flags credit structures that are unlikely to provide meaningful remedies and notes whether termination rights exist for repeated failures.

Reasonable exclusions: scheduled maintenance (with advance notice), customer-caused outages, and force majeure events. Problematic exclusions: unlimited scheduled maintenance without notice, broad 'third-party provider' exclusions that cover core infrastructure, and 'best efforts' language that effectively eliminates the commitment. Kontractually flags exclusions that significantly limit SLA coverage.

Yes. Many SLA issues arise from the interaction between the MSA liability cap and the SLA remedy structure. Review both documents - the MSA for the liability cap, the SLA for the remedy structure - to understand whether SLA credits are the only available remedy or whether the MSA allows other claims.

For large SaaS vendors, SLA terms are often standard and non-negotiable. In that case, Kontractually's review helps you understand what you're accepting - specifically, the gap between the stated SLA and actual business impact if the SLA is breached. This informs your decision about whether the vendor is appropriate for business-critical use cases.

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