Software Licensing Agreement

Software Licensing Agreement

If you create software for customers, then you need to consider creating a software licence agreement to help protect you and your business. A software licence agreement details how and when the software can be used, and provides any restrictions that are imposed on the software. A software licence agreement also defines and protects the rights of the parties involved in a clear and concise manner.

Generally, a licence agreement is enclosed within the software package, and can’t be accessed by the purchaser until the purchase is complete. Licence agreements generally also contain warranty provisions and patent information. Certain agreements make it necessary for the purchaser to sign and/or mail back the agreement. However, the purchaser can decline the software licence agreement, thus surrendering his or her right to use the software.

To put it simply, a software licence agreement is an agreement between your company and your customers for use of the software you have the rights to. It allows your customers to use your software and details exactly how they can use it. Within the software licence agreement, it will detail where customers can install it as well as how and how often it can be installed. Additionally, it should answer questions your customers may have about their ability to copy it, modify it, or redistribute it. The software’s price and licensing fees may also be detailed in this agreement. A software licence agreement is something you want to have in place to prevent or protect you from infringement of copyright law.