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  3. Software & Technology Contracts
  4. Software Development
  5. Agile Development Contracts

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Software Development

Agile Development Contracts

May the contract be terminated mid-project?

Yes — the customer may renounce at any time before completion, compensating the work performed and the damage caused.

When is an increment deemed accepted?

Unless the customer rejects it within the contractor's set period; remuneration is paid immediately upon acceptance.

When does limitation start for defects?

With part-by-part acceptance — from the day the work is accepted in full.

Is team rotation a breach?

No, where personal performance does not follow from the circumstances and the contract names no specific individuals.

4 min·9 Jan 2026

The legal nature of the agile development contract

Software development through a flexible, iterative process — iterations, sprints, incremental delivery — is legally a relationship built on the mechanics of the works contract, though its content is freely determined. Under part 1 of Article 319 of the Civil Code, subjects of private law may freely conclude contracts and determine their content; contracts not provided for by law are also permitted if they do not contradict it. This norm is what makes the agile process lawful: the iterative plan, the backlog and the separate acceptance of each stage take shape as contractual terms.

Updated: 23 Oct 2026

Verified against current law: 9 Jul 2026

Legal basis:

  • საქართველოს სამოქალაქო კოდექსი