The Software Product License Agreement serves as the primary legal framework for software distribution and use in the Australian market. This document is essential when a software provider wishes to grant users or organizations the right to use their software product while protecting their intellectual property rights and limiting liability. The agreement must comply with Australian legislation, including consumer protection laws, privacy regulations, and intellectual property statutes. It typically covers license scope, usage restrictions, fees, warranties, support terms, and termination rights. This document is particularly important for software vendors entering the Australian market or Australian companies developing and distributing software products, as it provides legal protection while ensuring compliance with local regulations.
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1. Parties: Identification of the licensor and licensee, including full legal names and addresses
2. Background: Context of the agreement, brief description of the software product, and purpose of the license
3. Definitions: Detailed definitions of key terms used throughout the agreement
4. Grant of License: Scope and nature of the license granted, including type (perpetual/term), territory, and whether exclusive/non-exclusive
5. License Restrictions: Specific prohibitions and limitations on use of the software
6. Intellectual Property Rights: Assertion of ownership and protection of IP rights in the software
7. License Fees and Payment: Payment terms, fee structure, and payment schedule
8. Warranties and Disclaimers: Software performance warranties and statutory warranty disclaimers
9. Support and Maintenance: Basic support terms and maintenance provisions
10. Term and Termination: Duration of agreement, renewal terms, and termination rights
11. Confidentiality: Protection of confidential information exchanged under the agreement
12. Limitation of Liability: Caps on liability and exclusions of certain types of damages
13. General Provisions: Standard boilerplate clauses including governing law, notices, and assignment
1. Professional Services: Include when implementation, configuration, or training services are provided with the software
2. Service Level Agreement: Include for cloud-based software or when specific performance metrics are guaranteed
3. Data Protection: Include when the software processes personal data or when compliance with privacy laws is required
4. Third-Party Components: Include when the software incorporates third-party software or open-source components
5. Export Controls: Include when the software is subject to export control regulations
6. High-Risk Activities: Include when software use needs to be restricted from critical or high-risk applications
7. Audit Rights: Include when the licensor needs rights to audit licensee's use of the software
8. Source Code Escrow: Include when source code escrow arrangements are part of the agreement
1. Schedule 1 - Software Description: Detailed technical specifications and description of the licensed software
2. Schedule 2 - License Fees: Detailed fee structure, including any variable components or usage-based pricing
3. Schedule 3 - Support Services: Detailed support levels, response times, and maintenance terms
4. Schedule 4 - Service Level Agreement: Detailed performance metrics, availability requirements, and remedies
5. Schedule 5 - Acceptable Use Policy: Detailed rules and restrictions for software use
6. Appendix A - Technical Requirements: Minimum system requirements and technical prerequisites
7. Appendix B - Security Requirements: Security standards and requirements for software use
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