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What Is a Term Contract (Zeitvertrag, Germany)?
This is a German procurement term. A contract for recurring services over a fixed period.
What is a Zeitvertrag?
A contract for recurring services over a fixed period, for example maintenance or minor works called off as needed, with prices fixed per unit in advance.
How does it differ from a framework agreement?
It is similar in practice. A term contract usually commits the buyer to using the contractor for the covered services, whereas a framework agreement often does not.
What should a bidder check?
The estimated volumes, whether they are guaranteed, and the price adjustment rules over the term.
