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Reseller Software License for Indonesia

Reseller Software License Template for Indonesia

A comprehensive legal agreement governed by Indonesian law that establishes the terms and conditions under which a software owner grants rights to a reseller to market, distribute, and sell their software products. The agreement covers essential aspects including licensing rights, territorial restrictions, commercial terms, support obligations, intellectual property protection, and compliance with Indonesian regulations, particularly the Electronic Information and Transactions Law and Copyright Law. It defines the relationship between the parties and sets forth their respective rights, obligations, and limitations in the software distribution arrangement.

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What is a Reseller Software License?

The Reseller Software License Agreement is essential for software companies expanding their market reach in Indonesia through indirect sales channels. This document is typically used when a software owner wants to establish a formal distribution network without selling directly to end users. The agreement must comply with Indonesian legal requirements, including the Law No. 28 of 2014 on Copyright and Law No. 11 of 2008 on Electronic Information and Transactions. It details critical aspects such as license scope, territory rights, pricing structures, support obligations, and intellectual property protections. The document is particularly important in the Indonesian market where software distribution often relies heavily on local reseller networks to reach end users effectively.

What sections should be included in a Reseller Software License?

1. Parties: Identification of the software owner/licensor and the reseller, including their legal registration details as required under Indonesian law

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

3. Definitions: Detailed definitions of key terms used throughout the agreement, including technical terms and Indonesian legal terminology

4. Grant of License: Scope of rights granted to reseller, including territory, exclusivity/non-exclusivity, and limitations

5. Reseller Obligations: Core responsibilities of the reseller including marketing, sales targets, reporting, and compliance requirements

6. Software Owner Obligations: Responsibilities of the software owner including support, updates, and training

7. Commercial Terms: Pricing structure, payment terms, commission rates, and currency specifications

8. Intellectual Property Rights: Protection of IP rights, ownership declarations, and restrictions on use

9. Term and Termination: Duration of agreement, renewal terms, and termination conditions

10. Confidentiality: Protection of confidential information and trade secrets

11. Warranties and Indemnities: Warranties regarding software functionality and intellectual property rights, indemnification provisions

12. Governing Law and Dispute Resolution: Specification of Indonesian law as governing law and dispute resolution mechanisms

What sections are optional to include in a Reseller Software License?

1. White Labeling Rights: Include when reseller is permitted to rebrand the software under their own name

2. End User Support: Include when reseller will provide first-line support to end users

3. Marketing Requirements: Include when specific marketing obligations or restrictions apply

4. Source Code Escrow: Include when source code escrow arrangements are required for business continuity

5. Data Protection: Include when personal data processing is involved in the software operation

6. Export Control: Include when software is subject to export restrictions

7. Training and Certification: Include when reseller staff must undergo specific training or certification

8. Insurance Requirements: Include when specific insurance coverage is required for the reseller

What schedules should be included in a Reseller Software License?

1. Schedule 1 - Software Description: Detailed technical specifications and features of the software

2. Schedule 2 - License Fees and Commission Structure: Detailed pricing, commission rates, and payment terms

3. Schedule 3 - Service Level Agreement: Support levels, response times, and performance metrics

4. Schedule 4 - Territory Definition: Detailed description of authorized sales territory

5. Schedule 5 - Marketing Guidelines: Brand guidelines and approved marketing practices

6. Appendix A - End User License Agreement: Standard EULA to be used with end customers

7. Appendix B - Technical Support Procedures: Support escalation procedures and contact information

8. Appendix C - Compliance Requirements: Detailed compliance requirements under Indonesian regulations

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

Indonesia

Document Type

License Agreement

Cost

Free to use

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