long term service agreement
having guaranteed support and a steady pricing plan can be very advantageous to the equipment owner, although the complex nature of ltsas can lead to costly, time-consuming disputes with the manufacturer. a typical ltsa should define the scope of the maintenance work in terms that are clear and easy to understand. a typical ltsa should also cover a concept referred to as âextra work.â extra work allows equipment owners to request services of the oem that are not covered by the work scope. a well-written ltsa will also account for start-up costs, which are costs associated with bringing the equipment on-line.