Master Software License Agreement for Malaysia

Master Software License Agreement Template for Malaysia

A comprehensive legal agreement governed by Malaysian law that establishes the terms and conditions under which software is licensed from a provider to an enterprise customer. This document serves as the primary framework for software licensing relationships, covering essential aspects such as usage rights, intellectual property protection, payment terms, warranties, and compliance with Malaysian data protection and electronic commerce laws. It includes detailed provisions for software deployment, maintenance, technical support, and dispute resolution within the Malaysian legal context.

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What is a Master Software License Agreement?

The Master Software License Agreement is a foundational document used when a software provider wishes to license its software products to enterprise customers in Malaysia. This agreement serves as the primary framework for establishing long-term software licensing relationships, ensuring compliance with Malaysian legislation including the Contracts Act 1950, Copyright Act 1987, and Personal Data Protection Act 2010. It's particularly crucial when dealing with enterprise-wide software deployments, multiple user licenses, or complex software solutions that require detailed terms for usage, maintenance, and support. The agreement typically includes comprehensive provisions for intellectual property protection, payment structures, service levels, and dispute resolution mechanisms, all tailored to meet Malaysian legal requirements and business practices.

What sections should be included in a Master Software License Agreement?

1. Parties: Identification of the licensor and licensee, including registered addresses and company registration numbers

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

3. Definitions: Detailed definitions of terms used throughout the agreement, including technical terms specific to the software

4. Grant of License: Scope of the license, usage rights, restrictions, and territory limitations

5. License Fees and Payment Terms: Pricing structure, payment schedule, and related financial terms

6. Intellectual Property Rights: Ownership of IP, protection of rights, and handling of infringement claims

7. Confidentiality: Protection of confidential information, including software code and trade secrets

8. Data Protection and Privacy: Compliance with PDPA 2010 and data handling requirements

9. Warranties and Representations: Software performance guarantees, compliance with laws, and standard warranties

10. Limitation of Liability: Caps on liability and exclusions in accordance with Malaysian law

11. Term and Termination: Duration of agreement, renewal terms, and termination rights

12. Post-Termination Obligations: Requirements after agreement ends, including data return or destruction

13. Governing Law and Jurisdiction: Malaysian law as governing law and jurisdiction for disputes

14. General Provisions: Standard boilerplate clauses including notices, assignment, and entire agreement

What sections are optional to include in a Master Software License Agreement?

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

2. Professional Services: Terms for additional implementation or customization services, if offered

3. Service Levels: Performance metrics and service levels for cloud-based or hosted software

4. Disaster Recovery: Business continuity requirements for critical software implementations

5. Export Control: Compliance with export regulations, needed for international usage

6. Third-Party Software: Terms relating to incorporated third-party software components

7. Hardware Requirements: Specific hardware requirements or restrictions for software use

8. Training and Support: Terms for user training and ongoing technical support if offered separately

What schedules should be included in a Master Software License Agreement?

1. Schedule 1 - Licensed Software: Detailed description of licensed software, modules, and components

2. Schedule 2 - Technical Specifications: Technical requirements, performance specifications, and compatibility details

3. Schedule 3 - Fee Schedule: Detailed pricing, payment terms, and fee calculation methods

4. Schedule 4 - Service Level Agreement: Detailed service levels, metrics, and remedies for hosted solutions

5. Schedule 5 - Support Services: Support tier definitions, response times, and escalation procedures

6. Schedule 6 - Approved Sub-licensees: List of authorized sub-licensees if sub-licensing is permitted

7. Schedule 7 - Security Requirements: Security standards, protocols, and compliance requirements

8. Appendix A - Acceptance Testing: Testing procedures, acceptance criteria, and sign-off requirements

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

Malaysia

Publisher

Genie AI

Document Type

License Agreement

Sector

IP

Cost

Free to use
Relevant legal definitions
Relevant Industries

Information Technology

Software Development

Financial Services

Healthcare

Manufacturing

Retail

Education

Telecommunications

Professional Services

Government and Public Sector

E-commerce

Banking

Insurance

Transportation and Logistics

Relevant Teams

Legal

Information Technology

Procurement

Finance

Compliance

Risk Management

Information Security

Commercial Operations

Technical Operations

Software Asset Management

Vendor Management

Relevant Roles

Chief Technology Officer

Legal Counsel

IT Director

Procurement Manager

Software Licensing Manager

Contract Administrator

Information Security Officer

Risk Manager

Compliance Officer

Software Asset Manager

Chief Information Officer

Commercial Director

Technical Operations Manager

Chief Legal Officer

Chief Financial Officer

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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