The Perpetual Software License Agreement is designed for situations where organizations need to establish a permanent software licensing arrangement under Indian jurisdiction. This document is particularly relevant when a software provider wishes to grant indefinite usage rights to their software while maintaining ownership of the intellectual property. It addresses the requirements of the Indian Information Technology Act 2000, Copyright Act 1957, and other relevant legislation, making it suitable for both domestic and international licensing arrangements. The agreement typically includes comprehensive terms covering license scope, usage rights, technical requirements, support services, and compliance obligations, providing a robust framework for long-term software licensing relationships while ensuring legal enforceability under Indian law.
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1. Parties: Identification of the licensor and licensee with full legal names, addresses, and company registration details
2. Background: Context of the agreement, brief description of the software, and purpose of the license
3. Definitions: Detailed definitions of technical and legal terms used throughout the agreement
4. Grant of License: Scope and nature of the perpetual license, including usage rights and restrictions
5. License Fees: One-time license fee details, payment terms, and any applicable taxes
6. Intellectual Property Rights: Assertion of ownership rights, protection of IP, and restrictions on modification
7. Licensee Obligations: Requirements and restrictions on licensee's use of the software
8. Technical Requirements: Minimum system requirements and technical specifications for software operation
9. Warranties: Software performance warranties and disclaimers
10. Support and Maintenance: Terms for ongoing technical support and maintenance services
11. Confidentiality: Protection of confidential information and trade secrets
12. Limitation of Liability: Caps on liability and exclusions of certain types of damages
13. Term and Termination: Duration of perpetual license and circumstances for termination
14. Governing Law and Jurisdiction: Application of Indian law and jurisdiction for dispute resolution
15. General Provisions: Standard boilerplate clauses including notices, assignment, and severability
1. Source Code Escrow: Terms for source code escrow arrangement, used when licensee requires access to source code under specific conditions
2. Data Protection: Specific data handling and privacy requirements, needed when software processes personal data
3. Export Control: Compliance with export control laws, required for international use of software
4. Third-Party Software: Terms relating to incorporated third-party software components, needed when software includes third-party elements
5. Professional Services: Terms for additional implementation or customization services, included when professional services are part of the deal
6. Service Level Agreement: Performance metrics and service levels, needed when specific performance guarantees are required
7. Disaster Recovery: Business continuity and disaster recovery requirements, important for business-critical software
8. Insurance: Insurance requirements for either party, included for high-value or high-risk implementations
1. Schedule A - Software Description: Detailed description of the software, including all modules, features, and functionality
2. Schedule B - Technical Specifications: Detailed technical requirements, system specifications, and compatibility requirements
3. Schedule C - License Fees: Detailed breakdown of license fees and payment schedule
4. Schedule D - Support Services: Detailed description of support and maintenance services, including service levels
5. Schedule E - Authorized Users: Definition and limitations of authorized users and usage parameters
6. Appendix 1 - Installation Guide: Technical documentation for software installation and configuration
7. Appendix 2 - Acceptance Testing: Acceptance testing procedures and criteria
8. Appendix 3 - Security Requirements: Detailed security requirements and compliance standards
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