The Master Use License Agreement is a fundamental legal instrument used in Indonesia to establish and govern the relationship between technology providers and their enterprise customers. This agreement type is particularly crucial in the Indonesian market where software licensing must comply with local electronic transaction laws and intellectual property regulations. It is typically employed when a company needs to license software, technology platforms, or digital content for business use, providing comprehensive terms for usage rights, restrictions, maintenance, and support. The agreement addresses specific requirements under Indonesian law, including the Law No. 28 of 2014 on Copyright and the Electronic Information and Transactions Law, while establishing clear parameters for intellectual property protection, payment terms, and dispute resolution within the Indonesian legal framework.
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1. Parties: Identification of the licensor and licensee, including their legal status and registered addresses
2. Background: Context of the agreement, brief description of the licensed material, and general purpose of the agreement
3. Definitions: Detailed definitions of key terms used throughout the agreement, including 'Licensed Material', 'Authorized Users', 'Territory', etc.
4. License Grant: Scope of the license, including permitted uses, restrictions, and territorial limitations
5. Term and Termination: Duration of the agreement, renewal terms, and circumstances for termination
6. License Fees and Payment: Payment terms, fee structure, invoicing, and payment methods
7. Intellectual Property Rights: Ownership of IP, protection of rights, and handling of modifications or derivatives
8. Warranties and Representations: Warranties regarding ownership, non-infringement, and performance guarantees
9. Limitation of Liability: Limitations on liability and exclusions of certain types of damages
10. Confidentiality: Protection of confidential information and trade secrets
11. Support and Maintenance: Terms for technical support, updates, and maintenance services
12. Compliance and Audit Rights: Requirements for compliance monitoring and right to audit usage
13. Governing Law and Dispute Resolution: Choice of Indonesian law and dispute resolution mechanisms
14. General Provisions: Standard boilerplate clauses including notices, assignment, and severability
1. Data Protection and Privacy: Required if the licensed material involves processing of personal data
2. Export Control: Necessary for international licensing arrangements involving controlled technology
3. Source Code Escrow: Optional provision for source code protection and access under specific conditions
4. Service Level Agreement: Required for software-as-a-service or hosted solutions
5. Training and Implementation: Optional section for agreements involving complex software requiring user training
6. Third-Party Components: Required if the licensed material incorporates third-party software or content
7. Insurance: Optional requirements for insurance coverage by either party
8. Change Control: Required for agreements where modifications to the licensed material are anticipated
1. Schedule 1 - Licensed Material: Detailed description of the software, content, or other materials being licensed
2. Schedule 2 - Technical Requirements: Technical specifications and system requirements
3. Schedule 3 - Fee Schedule: Detailed breakdown of license fees, payment schedules, and pricing models
4. Schedule 4 - Service Level Terms: Detailed service levels, response times, and performance metrics
5. Schedule 5 - Support and Maintenance Services: Detailed description of support services, maintenance procedures, and response times
6. Appendix A - Authorized Users: Definition and list of authorized users or user categories
7. Appendix B - Territory: Detailed description of geographic territories where license is valid
8. Appendix C - Accepted Use Policy: Detailed terms of acceptable use and usage restrictions
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