Software Subscription Agreement for the United States

Software Subscription Agreement Template for United States

A Software Subscription Agreement is a legally binding contract used in the United States that establishes the terms and conditions under which a software provider grants access to their software solution on a subscription basis. This agreement covers essential elements including service access, usage rights, payment terms, service levels, data protection, and termination conditions, while ensuring compliance with U.S. federal and state laws regarding software licensing, data privacy, and consumer protection.

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What is a Software Subscription Agreement?

The Software Subscription Agreement serves as the primary contract governing the relationship between software providers and their subscribers in the United States. This document is essential when offering software solutions on a subscription basis, whether cloud-based or locally installed. It details the scope of services, usage rights, payment structures, service level commitments, and compliance requirements. The agreement incorporates provisions addressing U.S. federal and state requirements for data protection, consumer rights, and electronic transactions, while establishing clear guidelines for subscription management, support services, and dispute resolution.

What sections should be included in a Software Subscription Agreement?

1. Parties: Identification and details of the contracting parties

2. Background: Context and purpose of the agreement

3. Definitions: Key terms used throughout the agreement

4. Subscription Services: Detailed description of software services provided

5. Payment Terms: Pricing, payment schedule, and related conditions

6. Term and Termination: Duration, renewal, and termination conditions

7. License Grant: Scope and limitations of software usage rights

8. Service Level Agreement: Performance standards and metrics

9. Intellectual Property Rights: Rights and restrictions regarding IP ownership and usage

10. Confidentiality: Protection of confidential information and trade secrets

11. Data Protection and Privacy: Compliance with privacy laws and data handling requirements

12. Warranties and Disclaimers: Service warranties and limitation of liability

13. Indemnification: Mutual obligations for loss protection and compensation

14. General Provisions: Miscellaneous legal terms including governing law, notices, and assignment

What sections are optional to include in a Software Subscription Agreement?

1. Professional Services: Additional services such as implementation, training, or consulting support

2. White Labeling: Terms and conditions for rebranding the software under customer's brand

3. Geographic Restrictions: Limitations on territorial usage and compliance with local laws

4. Third-Party Integrations: Terms governing integration with third-party software or services

5. Export Controls: Compliance with export control regulations and restrictions

What schedules should be included in a Software Subscription Agreement?

1. Service Level Agreement Details: Detailed performance metrics, uptime guarantees, and service standards

2. Pricing Schedule: Detailed pricing tiers, models, and payment terms

3. Data Processing Agreement: Specific terms for data handling, processing, and privacy compliance

4. Support Services Description: Details of technical support levels, response times, and escalation procedures

5. Security Requirements: Security protocols, compliance requirements, and incident response procedures

6. Acceptable Use Policy: Guidelines and restrictions for acceptable use of the software service

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

United States

Publisher

Genie AI

Document Type

Service Agreement

Cost

Free to use
Industries

UCITA: Uniform Computer Information Transactions Act - Governs software licenses and information technology transactions

CFAA: Computer Fraud and Abuse Act - Federal cybercrime law that provides framework for addressing unauthorized access to computer systems

DMCA: Digital Millennium Copyright Act - Addresses copyright issues in digital environment and protects against unauthorized copying of software

Federal Copyright Act: Provides basic framework for protection of intellectual property rights in software and related materials

E-SIGN Act: Electronic Signatures in Global and National Commerce Act - Ensures legal validity of electronic signatures and records

CCPA: California Consumer Privacy Act - Comprehensive privacy law affecting businesses serving California residents

GDPR Compliance: General Data Protection Regulation considerations if dealing with EU customers or data subjects

COPPA: Children's Online Privacy Protection Act - Regulates collection and use of personal information from children under 13

FTC Act: Federal Trade Commission Act - Prohibits unfair or deceptive practices in commerce

UETA: Uniform Electronic Transactions Act - Provides legal framework for electronic transactions and records

Data Breach Laws: State-specific requirements for notification and handling of data breaches

Export Regulations: EAR and ITAR regulations governing international distribution of software and technical data

UCC: Uniform Commercial Code - Provides framework for commercial transactions, including software sales and licenses

Statute of Frauds: Common law requirement that certain contracts must be in writing to be enforceable

State Contract Laws: Various state-specific contract laws that may affect interpretation and enforcement of the agreement

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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