Texas Security Level II Certification Practice Test

Which type of contract allows a security company to provide patrol services to a business?

1. Joint venture

2. Agency agreement

3. Service contract

4. Employment contract

The correct answer is: Service contract

A service contract is specifically designed to outline the terms and conditions under which the security company will provide patrol services to a business. This type of contract establishes the scope of the services, the duration of the engagement, compensation details, and any specific obligations of both parties involved. Such contracts are common in the security industry, as they formalize the relationship between the security provider and the client, ensuring clarity on responsibilities, performance expectations, and legal protections. In contrast, a joint venture typically involves two or more parties collaborating on a specific project but does not specifically pertain to the ongoing provision of services like security patrols. An agency agreement denotes a relationship where one party is authorized to act on behalf of another but is more focused on representation rather than the direct provision of services. An employment contract pertains to the hiring of staff and delineates the terms of employment, which is not applicable when discussing external service providers focused on delivering specific security functions.