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Custom Software License Agreement

Custom Software License Agreement Template for India

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Key Requirements PROMPT example:

Custom Software License Agreement

"I need a Custom Software License Agreement for licensing our AI-powered inventory management software to retail businesses in India, with specific provisions for data protection and source code escrow arrangements."

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The Custom Software License Agreement is essential for organizations seeking to license specially developed software solutions in India. This document is typically used when a software developer or company has created bespoke software for a specific client and needs to establish clear terms for its usage, implementation, and maintenance. The agreement must comply with Indian legislation, particularly the Information Technology Act, 2000, Copyright Act, 1957, and Indian Contract Act, 1872. It covers crucial aspects such as license scope, intellectual property rights, customization permissions, support services, and data protection requirements. This type of agreement is particularly important as it protects both the developer's intellectual property rights and the licensee's business interests while ensuring clear operational parameters for the software's deployment and use.
Suggested Sections

1. Parties: Identification of the licensor and licensee with complete legal details

2. Background: Context of the agreement, including brief description of the software and purpose

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

4. License Grant: Scope, nature, and limitations of the software license being granted

5. License Fees and Payment Terms: Financial terms, payment schedule, and related conditions

6. Delivery and Implementation: Terms regarding software delivery, installation, and implementation

7. Intellectual Property Rights: Declaration and protection of IP rights in the software

8. Confidentiality: Obligations regarding confidential information protection

9. Warranties and Representations: Warranties provided for the software and mutual representations

10. Limitation of Liability: Limitations on parties' liability and exclusions

11. Term and Termination: Duration of agreement and termination conditions

12. Post-Termination Obligations: Obligations of parties after agreement termination

13. Governing Law and Jurisdiction: Applicable law and jurisdiction for dispute resolution

14. General Provisions: Standard boilerplate clauses including notices, assignment, etc.

Optional Sections

1. Source Code Escrow: Terms for source code deposit and release conditions - include when source code access might be needed

2. Service Level Agreement: Performance standards and support levels - include for operational software

3. Data Protection and Privacy: Specific data handling obligations - include if personal data is processed

4. Third-Party Components: Rights and obligations regarding third-party software - include if third-party software is integrated

5. Export Control: Export regulation compliance - include for international usage

6. Training and Support: Terms for user training and ongoing support - include if support services are offered

7. Customization Rights: Terms for software modification rights - include if customization is allowed

8. Audit Rights: Software usage audit provisions - include for usage-based licensing

Suggested Schedules

1. Software Description: Detailed technical specifications and functionality of the software

2. License Fees Schedule: Detailed breakdown of all applicable fees and payment terms

3. Service Level Parameters: Detailed performance metrics and service levels if applicable

4. Implementation Plan: Timeline and milestones for software implementation

5. Acceptance Testing Criteria: Criteria and procedures for software acceptance

6. Support and Maintenance Terms: Detailed support and maintenance procedures

7. Authorized Users: List of authorized users or user categories and access levels

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

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Relevant legal definitions
Acceptance Criteria
Authorized Users
Business Day
Confidential Information
Custom Software
Documentation
Effective Date
Enhancement
Error
Implementation Plan
Initial Term
Intellectual Property Rights
License Fees
Licensed Software
Maintenance Services
Material Breach
Object Code
Personal Data
Service Levels
Software Specifications
Source Code
Support Services
System Requirements
Technical Infrastructure
Third-Party Components
Updates
User Acceptance Testing
Work Product
Relevant Industries

Information Technology

Software Development

Financial Services

Healthcare

Manufacturing

Retail

Education

Telecommunications

Professional Services

E-commerce

Relevant Teams

Legal

Information Technology

Procurement

Compliance

Information Security

Risk Management

Software Development

Project Management

Vendor Management

Technical Operations

Relevant Roles

Chief Technology Officer

Legal Counsel

IT Director

Software Development Manager

Procurement Manager

Contract Manager

Information Security Officer

Technology Risk Manager

Compliance Officer

Project Manager

Business Development Manager

Software Architect

Industries
Information Technology Act, 2000: Primary legislation governing electronic commerce and digital transactions in India, including software licensing and digital contracts
Copyright Act, 1957: Protects original computer software as literary works and governs software licensing rights in India
Indian Contract Act, 1872: Fundamental law governing contract formation, validity, and enforcement in India
Consumer Protection Act, 2019: Relevant for software licensing to end-users, covering consumer rights and remedies
Information Technology (Reasonable Security Practices and Procedures and Sensitive Personal Data or Information) Rules, 2011: Governs the handling of personal data and security requirements in software systems
Patents Act, 1970: Relevant for protecting any patentable technical innovations in the software
Foreign Exchange Management Act, 1999: Applicable if the software license agreement involves cross-border transactions or foreign parties
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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