ITPDX LLC TERMS OF LABOR

Descriptions of tasks are simply a “label” to a task requested via email threads and/or verbal communications to/from the client and ITPDX.

Since estimates are made using the best definitions and details that the client was able to provide and accuracy is largely based on the communication rapport between the client and the ITPDX team with pre-established verbal understandings of how the existing code or systems work and in which ways the client would like adds or changes to be made they are subject to error.

Estimates are given in man-hour ranges. Wider ranges represent a less confident estimation in order to cover unknown factors that the ITPDX team feels may come with unforeseen extenuating circumstances or details that were not effectively communicated.

As a convenience we also offer a Fixed Estimate on each task for those clients who prefer a fixed budgetary value. The Fixed Estimate is a guaranteed maximum number of hours that will be performed upon the task described before work will cease and a change order will be requested. The man-hour ranges show the minimum and maximum we can estimate with the current mutual understandings about the task being described. The client is advised to plan for the worst case estimate and hope for the best outcome.

RATES AND ESTIMATES:

Our services are billed on an actual-work model (you pay for the work actually performed). This is why we include ranges in the work estimates. Sometimes the work will not take as long as we estimate. We do not gamble against our estimate projections. The estimates are provided only for planning and guidance. If estimates are going to miss expectations we will work with you to find middle ground on the labor costs but it must be negotiated to both party's satisfaction.

Once estimates on functionality and deliverables are defined in estimate documents ANY change communicated verbally or written to the scope or functionality of the definitions may incur additional labor charges which you will be required to pay.

We do not require any retainers or guaranteed billable hours. Your invoices from us will have detailed accounts of the work that was performed on each line item.

PAYMENT TERMS:

We bill you on the 1st and 15th of each month and we allow you up to 30 days to pay on invoices from those dates. Fifteen day billing cycles allow you to keep a closer eye on our progress and gives us a way to make sure we are staying on target for deliverables.

Billable man-hours are accumulated on the 1st to 15th day of the month period cycles and payment must follow them. Therefore even if you receive your invoices later than the 1st or 15th we require you to pay by the next bill period. This allows all staff to receive steady regular payment for their labor regardless of the administrative overhead and delays in accounting processes.

MISSING PAYMENTS:

If for any reason we do not receive an invoice payment before the invoice due date, all work on the project or services cease. ITPDX LLC is unable to incur further financial risk on a task by task basis due to non-payment. When a project has ceased due to non-payment we will not be responsible for missed deadlines. All work will continue where it left off when invoice payments are brought up to date if resources are still available to do so at that time.

SCOPE AND DELIVERABLES:

We require correspondence on adjustments to the project deliverables and changing deadlines to be in writing as email messages. This allows us to better document your requests and make sure we do not miss any details. Phone calls can lead to miscommunication and makes timely handling of requests more difficult. If requests are deemed “out of scope” of this original estimate, additional billable man-hours will be accrued on the project which will increase the overall cost of this statement of work.

THIRD-PARTY PRODUCTION ENVIRONMENTS:

If your final product or site are to be hosted on third-party environments you understand that there may be additional labor costs to you from ITPDX in order for us to access and troubleshoot problems that are beyond our direct control. These charges include time required to coordinate with third-party hosting technicians, developers, or designers.

NO WARRANTY ON OPEN-SOURCE CODE:

You understand that by leveraging open-source code (such as Magento) you are saving thousands if not hundreds of thousands of dollars in labor. Because this code was written by other programmers ITPDX makes no warranty on the open-source code. If core bugs are discovered in the open-source code that affect you as our client we will present these issues to you and ask you if you want us to fix them on your behalf. ITPDX cannot be responsible for core code issues in open-source code which impact your deliverables or your deadlines. You must be prepared to accrue unexpected labor costs owed to ITPDX for newly discovered bugs in open-source code in addition to any labor estimates provided in this statement of work.

AFTER-DEPLOYMENT CHANGES:

You will have 30-days after the deliverables are launched (or exposed to the public or your staff for operational use) to discover or report any issues you have with the deliverables. Issues reported may or may not be deemed the responsibility of ITPDX to remedy at ITPDX's discretion and must be warranted (within ITPDX's ability to remedy).

ESTIMATE EXPIRATION:

Technology is a moving target. This estimate is subject to a 45-day expiration at our option. If the project does not initiate within 45 days of delivery we may opt not to do the project and/or need to return to discussions with you to review actual deliverables and determine if any of the requirements of the project have changed. In addition to man-hours billable against work estimated in a quote all time spent communicating via phone and face-to-face with you and your staff on the project and about billings and invoice payments will be considered additional billable project management man-hours on this project which may not be represented in the estimates above.

ONGOING SERVICES:

We stand behind our work as much as a personal warranty on our workmanship may allow but we do not provide refunds so you must know that you are purchasing our labor and expertise at your own risk. We will be available as much as possible after launch to provide additional advice and support as required. Any ongoing service may or may not be gratis depending upon the circumstances and at ITPDX's determination.

We pick our clients carefully as we see each relationship as a long-term one. Because of this you must understand (if you are a new client) that you are joining a community of clients sharing the same resources (ITPDX). There are times when emergencies will require our attention and when these happen they may impact our response times and schedules as well. It may feel disconcerting but you will appreciate the emergency treatment if you ever need it yourselves as well. You must share ITPDX with others.

OBJECTIVES:

We see our relationship with you on estimated projects as a partnership towards your success. While we are responsible to make the described deliverables to you in a timely manner we do not count ourselves successful unless you are achieving the rewards of our labor on the project.

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