Restrictive Software License Template for Switzerland

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Key Requirements PROMPT example:

Restrictive Software License

"I need a Restrictive Software License agreement for my AI-powered financial analysis software that will be licensed to banks in Switzerland only, with strict usage limitations preventing reverse engineering and requiring quarterly compliance audits."

Document background
The Restrictive Software License agreement is essential for software providers who need to protect their intellectual property while allowing controlled use of their software. This document is particularly relevant when the licensor wishes to maintain strict control over their software's usage, distribution, and modification rights. Governed by Swiss law, which provides robust protection for intellectual property rights and contract enforcement, this agreement type is commonly used for proprietary software, specialized applications, or software containing sensitive technological innovations. The document includes comprehensive terms covering license scope, usage restrictions, compliance monitoring, and enforcement mechanisms, making it suitable for high-value software products or those containing trade secrets that require enhanced protection.
Suggested Sections

1. Parties: Identification of the licensor and licensee, including full legal names, registration details, and addresses

2. Background: Context of the agreement, description of the software, and the parties' intention to enter into a restrictive licensing arrangement

3. Definitions: Detailed definitions of key terms used throughout the agreement, including Software, Documentation, Intellectual Property Rights, and Restricted Use

4. Grant of License: Specific, limited grant of rights to use the software, clearly stating all restrictions and limitations

5. License Restrictions: Explicit list of prohibited activities, usage limitations, and territorial restrictions

6. Intellectual Property Rights: Assertion of ownership rights, protection of IP, and handling of derivative works

7. Payment Terms: License fees, payment schedule, and consequences of payment default

8. Protection Measures: Technical protection measures, monitoring rights, and audit provisions

9. Confidentiality: Protection of confidential information and trade secrets

10. Term and Termination: Duration of the license, termination grounds, and post-termination obligations

11. Warranties and Disclaimers: Limited warranties provided and disclaimer of other warranties

12. Liability and Indemnification: Limitation of liability and indemnification obligations

13. General Provisions: Standard provisions including governing law, jurisdiction, entire agreement, and amendment procedures

Optional Sections

1. Source Code Escrow: Terms for source code escrow arrangements, used when licensee requires additional security

2. Support and Maintenance: Terms for technical support and maintenance services, if offered separately

3. Data Protection: Specific data protection provisions, required if the software processes personal data

4. Export Control: Export restriction provisions, needed for international licensing

5. Third-Party Software: Provisions regarding third-party components, if the software includes such elements

6. Service Level Agreement: Performance standards and metrics, relevant for cloud-based or hosted software

7. Installation and Training: Terms for implementation services and user training, if provided

Suggested Schedules

1. Software Description: Detailed technical specification of the licensed software

2. License Fees: Detailed breakdown of license fees and payment terms

3. Authorized Users: List of authorized users or user categories and their access rights

4. Technical Requirements: Minimum system requirements and technical specifications

5. Support Terms: Detailed support and maintenance terms, if applicable

6. Restricted Territories: List of territories where usage is restricted or prohibited

7. Audit Procedures: Detailed procedures for conducting compliance audits

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions
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Legal

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Intellectual Property

Contract Administration

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Relevant Roles

Chief Technology Officer

Legal Counsel

IP Rights Manager

Software Licensing Manager

Contract Administrator

Information Security Officer

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Compliance Officer

IT Director

Risk Manager

Product Manager

Business Development Manager

Software Architect

Legal Operations Manager

Industries
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