This Restrictive Software License agreement is designed for use in the South African market where software developers, companies, or intellectual property owners need to establish strict control over their software's usage, distribution, and modification. The document incorporates essential elements required by South African legislation, including the Copyright Act 98 of 1978, Consumer Protection Act 68 of 2008, and POPIA, while providing robust protection for proprietary software. It is particularly suitable for commercial software deployments where the licensor wishes to maintain significant control over their intellectual property, including restrictions on reverse engineering, modification, and redistribution. The agreement includes comprehensive terms covering license scope, usage limitations, confidentiality obligations, data protection requirements, and dispute resolution mechanisms within the South African legal framework.
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1. Parties: Identification of the Licensor and Licensee, including full legal names, registration numbers (if applicable), and physical addresses
2. Background: Context of the agreement, brief description of the software, and purpose of the license
3. Definitions: Detailed definitions of terms used throughout the agreement, including technical terms specific to the software
4. Grant of License: Specific terms of the license grant, including scope, restrictions, and territory
5. License Restrictions: Detailed restrictions on use, copying, modification, reverse engineering, and distribution of the software
6. Intellectual Property Rights: Declaration and protection of IP rights, including copyright, patents, and trade secrets
7. Payment Terms: License fees, payment schedule, and consequences of non-payment
8. Term and Termination: Duration of the license, renewal terms, and termination conditions
9. Warranties and Disclaimers: Limited warranties provided and disclaimers of liability
10. Confidentiality: Protection of confidential information and trade secrets
11. Data Protection: Compliance with POPIA and data protection requirements
12. General Provisions: Standard legal provisions including governing law, jurisdiction, and dispute resolution
1. Third-Party Software: Include when the software incorporates third-party components or dependencies
2. Service Level Agreement: Include when providing specific performance guarantees or support levels
3. Export Controls: Include when the software may be subject to international use or export restrictions
4. Source Code Escrow: Include when providing source code escrow arrangements for business-critical applications
5. Professional Services: Include when additional implementation or customization services are provided
6. Audit Rights: Include when licensor requires rights to audit licensee's use of the software
7. High-Risk Activities: Include when software should be restricted from use in high-risk or life-critical applications
1. Schedule A - Software Description: Detailed technical specifications and description of the licensed software
2. Schedule B - License Fees: Detailed breakdown of license fees, payment terms, and pricing structure
3. Schedule C - Technical Requirements: Minimum system requirements and technical specifications for software operation
4. Schedule D - Support and Maintenance Terms: Details of support services, maintenance, and updates if provided
5. Schedule E - Authorized Users: Definition and limitations of authorized users and usage parameters
6. Appendix 1 - Data Processing Terms: Detailed terms for compliance with POPIA and data protection requirements
7. Appendix 2 - Security Requirements: Security standards and requirements for software usage and data protection
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