What type of service agreement would be least likely to include terms on regulatory compliance?

What type of service agreement would be least likely to include terms on regulatory compliance?

• A. Performance-based contract
• B. Service level agreement
• C. Maintenance contract
• D. Consulting agreement

Answer: (D)

A consulting agreement is least likely to include terms on regulatory compliance because it primarily focuses on the provision of expert advice or services rather than the direct execution of tasks that would require adherence to specific regulations. Consulting agreements often outline the scope of the consultant's work, deliverables, timelines, and fees, without diving deeply into the operational details that must comply with regulatory standards. In contrast, performance-based contracts, service level agreements, and maintenance contracts are generally more comprehensive regarding regulatory compliance. These agreements typically involve ongoing operations or maintenance services where adherence to laws and regulations is critical. Such contracts often specify performance metrics, service expectations, and compliance with health, safety, and environmental regulations that govern the work being performed.

A consulting agreement is least likely to include terms on regulatory compliance because it primarily focuses on the provision of expert advice or services rather than the direct execution of tasks that would require adherence to specific regulations. Consulting agreements often outline the scope of the consultant's work, deliverables, timelines, and fees, without diving deeply into the operational details that must comply with regulatory standards.

In contrast, performance-based contracts, service level agreements, and maintenance contracts are generally more comprehensive regarding regulatory compliance. These agreements typically involve ongoing operations or maintenance services where adherence to laws and regulations is critical. Such contracts often specify performance metrics, service expectations, and compliance with health, safety, and environmental regulations that govern the work being performed.