Limited Use License Agreement for Germany

Limited Use License Agreement Template for Germany

A Limited Use License Agreement under German law is a legally binding contract that grants specific, restricted rights to use intellectual property, software, or other proprietary materials. The agreement is structured in accordance with German civil law requirements, particularly the Bürgerliches Gesetzbuch (BGB) and relevant intellectual property legislation. It defines the precise scope of permitted use, restrictions, duration, and terms of the license, while ensuring compliance with German contract law principles and consumer protection regulations where applicable. This agreement is particularly important for protecting intellectual property rights while allowing controlled usage by third parties.

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What is a Limited Use License Agreement?

The Limited Use License Agreement is essential in scenarios where controlled access to proprietary content, software, or intellectual property is required. This document, governed by German law, establishes a clear framework for licensing while maintaining strict control over usage rights. It's particularly relevant when the licensor wishes to maintain significant control over how their intellectual property is used, including restrictions on modification, redistribution, or commercial exploitation. The agreement includes specific provisions required under German law, such as those prescribed by the BGB and German intellectual property legislation, while addressing key aspects such as scope of use, technical requirements, liability limitations, and termination conditions. It's commonly used in software licensing, content distribution, and technology transfer scenarios where the licensor wants to grant specific, limited rights while retaining overall control of their intellectual property.

What sections should be included in a Limited Use License Agreement?

1. Parties: Identification and details of the licensor and licensee

2. Background: Context of the agreement and brief description of the licensed material/software

3. Definitions: Detailed definitions of terms used throughout the agreement

4. Grant of License: Scope and nature of the license being granted, including any territorial restrictions

5. License Restrictions: Specific limitations on use, prohibited activities, and usage boundaries

6. Term and Termination: Duration of the license and circumstances under which it can be terminated

7. Intellectual Property Rights: Confirmation of ownership and protection of IP rights

8. Confidentiality: Obligations regarding confidential information

9. Warranties and Representations: Warranties provided by each party and limitations thereof

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

11. General Provisions: Standard legal provisions including governing law, jurisdiction, and entire agreement

What sections are optional to include in a Limited Use License Agreement?

1. License Fees: Terms of payment and fee structure - required if the license is not free

2. Support and Maintenance: Details of technical support and maintenance services - include if ongoing support is offered

3. Audit Rights: Rights to audit licensee's use of the licensed material - relevant for complex commercial licenses

4. Data Protection: GDPR compliance provisions - required if personal data processing is involved

5. Export Control: Export restrictions and compliance - necessary for international use or restricted technologies

6. Source Code Escrow: Terms for source code escrow arrangements - relevant for software licenses with critical business dependencies

7. Training and Implementation: Terms regarding training and implementation services - include if such services are part of the agreement

What schedules should be included in a Limited Use License Agreement?

1. Schedule 1 - Licensed Material: Detailed description of the licensed material/software, including version numbers and specifications

2. Schedule 2 - Technical Requirements: Technical specifications and system requirements for using the licensed material

3. Schedule 3 - Fee Schedule: Detailed breakdown of license fees and payment terms if applicable

4. Schedule 4 - Service Level Agreement: Details of service levels and support if maintenance is included

5. Schedule 5 - Acceptable Use Policy: Detailed rules and guidelines for acceptable use of the licensed material

6. Appendix A - Contact Information: Contact details for key personnel and support contacts

7. Appendix B - Change Control Procedure: Process for requesting and implementing changes to the licensed material or agreement terms

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

Jurisdiction

Germany

Publisher

Genie AI

Document Type

License Agreement

Sector

IP

Cost

Free to use
Relevant legal definitions
Relevant Industries

Information Technology

Software Development

Manufacturing

Healthcare

Education

Financial Services

Research & Development

Professional Services

Telecommunications

Media & Entertainment

Retail

Automotive

Pharmaceuticals

Biotechnology

Relevant Teams

Legal

Intellectual Property

Procurement

Information Technology

Research & Development

Product Development

Compliance

Business Development

Contract Administration

Risk Management

Relevant Roles

Legal Counsel

Intellectual Property Attorney

Licensing Manager

Contract Manager

Business Development Manager

Software Development Manager

Chief Technology Officer

Chief Legal Officer

Procurement Manager

IT Director

Compliance Officer

Product Manager

Innovation Director

Research Director

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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