Need a It Contract in Washington? AroundWire Can Help

IT contracts in Washington State, particularly those involving public agencies, are governed by a combination of state procurement statutes (notably RCW 39.26) and agency-specific policies. Contracts typically require vendors to comply with Washington’s Open Public Records Act, data privacy laws, and, where applicable, the Washington State Office of Cybersecurity standards. Contractors may need to demonstrate relevant business licenses, and, for certain IT services or cloud solutions, specific certifications such as SOC 2, FedRAMP, or compliance with state-level security frameworks. Insurance requirements generally include commercial general liability, professional liability (errors and omissions), and cyber liability coverage, with minimum limits set by the procuring agency. Payment terms are often net 30, but may be subject to the state’s Prompt Payment Act. Risk allocation is commonly addressed through indemnification clauses favoring the state, and limitation of liability is often negotiable but may face statutory constraints. Intellectual property provisions are critical and may include state ownership of custom-developed software or negotiated licensing terms. Dispute resolution typically favors negotiation and mediation before litigation, and contracts often specify venue in Washington state courts. Contractors should be aware of mandatory reporting requirements for security incidents and the importance of aligning with state-mandated accessibility and IT procurement best practices.