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Dual Software License Template for South Africa

A comprehensive legal agreement governed by South African law that establishes the terms and conditions for both commercial and open-source licensing of software. The document provides detailed provisions for intellectual property rights, usage terms, distribution rights, and obligations under both licensing models. It ensures compliance with South African legislation, including the Copyright Act, Electronic Communications and Transactions Act, and Protection of Personal Information Act, while offering flexibility in software licensing options to different types of users.

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What is a Dual Software License?

The Dual Software License agreement is designed for software providers operating in South Africa who wish to offer their software under both commercial and open-source licensing models. This document structure is particularly valuable when organizations need to maintain an open-source presence while generating revenue through commercial licensing. The agreement comprehensively addresses the requirements of South African law, including intellectual property protection, electronic transactions, and data protection regulations. It provides specific terms for each license type, covering usage rights, distribution, warranties, support levels, and compliance requirements. This type of agreement is commonly used for software products that need to balance community accessibility with commercial viability, ensuring clear differentiation between the rights and obligations under each license type.

What sections should be included in a Dual Software License?

1. Parties: Identification of the Licensor and potential Licensee categories for both license types

2. Background: Context of the software, its purpose, and explanation of the dual licensing model

3. Definitions: Comprehensive definitions including Software, License Types, Use, Intellectual Property Rights, and other key terms

4. License Grant: Detailed description of rights granted under each license type (commercial and open-source)

5. License Restrictions: Specific restrictions and limitations for each license type

6. Intellectual Property Rights: Declaration and protection of IP rights, including copyright, patents, and trademarks

7. Payment Terms: Commercial license fees, payment terms, and pricing structure

8. Distribution Rights: Terms governing redistribution under each license type

9. Warranty and Disclaimer: Warranty terms for each license type and associated disclaimers

10. Support and Maintenance: Support levels and maintenance terms for each license type

11. Term and Termination: Duration of licenses and conditions for termination under each type

12. Governing Law and Jurisdiction: Specification of South African law as governing law and jurisdiction details

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

1. Source Code Access: Terms for source code access - include when source code access is offered under either license type

2. Contribution Terms: Include when accepting community contributions under the open-source license

3. Export Controls: Include when software may be subject to export control regulations

4. Data Protection Compliance: Include when software processes personal information under POPIA

5. Service Level Agreement: Include for commercial licenses offering specific performance guarantees

6. Audit Rights: Include for commercial licenses requiring compliance verification

7. High-Risk Activities: Include when software should be restricted from use in high-risk or critical systems

8. Third-Party Components: Include when software incorporates third-party components with separate licenses

What schedules should be included in a Dual Software License?

1. Schedule A - Software Description: Detailed description of the software, its components, and technical specifications

2. Schedule B - Commercial License Terms: Specific terms, conditions, and pricing for commercial license

3. Schedule C - Open Source License Terms: Complete text of the open source license being used

4. Schedule D - Support Service Levels: Detailed support and maintenance terms for each license type

5. Schedule E - Acceptable Use Policy: Guidelines and restrictions for software usage

6. Appendix 1 - Technical Requirements: Minimum system requirements and technical specifications

7. Appendix 2 - Fee Schedule: Detailed pricing structure for commercial licenses

8. Appendix 3 - Third-Party Licenses: List of third-party components and their respective licenses

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

South Africa

Document Type

License Agreement

Cost

Free to use

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