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Master License Agreement for Saudi Arabia

Master License Agreement Template for Saudi Arabia

A comprehensive legal framework governed by Saudi Arabian law that establishes the terms and conditions for licensing intellectual property, technology, or software. This agreement serves as the primary document controlling the licensing relationship between the licensor and licensee, addressing crucial aspects such as license scope, payment terms, usage rights, and compliance requirements. The document incorporates specific provisions to ensure compliance with Saudi commercial regulations and Sharia principles, while including necessary protections for intellectual property rights, confidentiality obligations, and dispute resolution mechanisms aligned with Saudi jurisdiction.

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Master License Agreement

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What is a Master License Agreement?

The Master License Agreement is a fundamental legal document used when establishing long-term licensing relationships in Saudi Arabia, particularly for technology, software, or intellectual property rights. This agreement type is essential when a company wishes to grant another entity the right to use, distribute, or commercialize its proprietary assets within the Saudi market. The document must comply with Saudi commercial regulations, including the Commercial Law (Royal Decree No. M/1) and relevant intellectual property legislation, while adhering to Sharia principles. It typically includes detailed provisions on license scope, territorial restrictions, payment terms, compliance requirements, and protection mechanisms for both parties' interests. The Master License Agreement serves as an umbrella agreement that can be supplemented by specific license schedules or addenda for individual products or services, making it particularly valuable for ongoing or complex licensing relationships.

What sections should be included in a Master License Agreement?

1. Parties: Identification of the licensor and licensee with full legal names and addresses

2. Background: Context of the agreement, brief description of the parties' business and purpose of the licensing arrangement

3. Definitions: Comprehensive list of defined terms used throughout the agreement

4. Grant of License: Detailed scope of the license, including territory, exclusivity/non-exclusivity, and permitted uses

5. License Fees and Payment Terms: Payment structure, amounts, payment schedules, and currency specifications

6. Intellectual Property Rights: Ownership declarations and protection of IP rights

7. Obligations of the Licensor: Licensor's commitments, including delivery, support, and maintenance obligations

8. Obligations of the Licensee: Licensee's responsibilities, usage restrictions, and compliance requirements

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

10. Confidentiality: Protection of confidential information and trade secrets

11. Warranties and Representations: Statements of assurance from both parties regarding their capacity and rights

12. Limitation of Liability: Scope of liability limitations and exclusions

13. Compliance with Laws: Obligations to comply with Saudi laws and regulations

14. Dispute Resolution: Procedures for resolving disputes under Saudi law

15. General Provisions: Standard clauses including notices, assignment, and entire agreement

What sections are optional to include in a Master License Agreement?

1. Source Code Escrow: Required when software source code protection is needed for business continuity

2. Data Protection: Necessary when personal data processing is involved in the licensed activities

3. Export Control: Required when licensed products or technology may be subject to export restrictions

4. Training and Support: Include when specific training or support services are part of the license

5. Quality Control: Necessary for trademark licenses or when product quality standards must be maintained

6. Localization Requirements: Include when licensed products need to be adapted for the Saudi market

7. Shariah Compliance: Specific provisions ensuring compliance with Islamic law principles

8. Government Approvals: Required when specific regulatory approvals are needed for the license

9. Insurance: Include when specific insurance coverage is required for licensed activities

What schedules should be included in a Master License Agreement?

1. Schedule 1 - Licensed Products/Technology: Detailed description of licensed products, software, or technology

2. Schedule 2 - License Fees and Payment Schedule: Detailed breakdown of fees, royalties, and payment terms

3. Schedule 3 - Technical Specifications: Technical requirements and specifications for licensed products

4. Schedule 4 - Service Level Agreement: Performance standards and support requirements

5. Schedule 5 - Approved Sub-licensees: List of approved sub-licensees if sub-licensing is permitted

6. Schedule 6 - Territory Definition: Detailed description of licensed territory and any restrictions

7. Appendix A - Usage Guidelines: Specific guidelines for using licensed products/technology

8. Appendix B - Compliance Requirements: Detailed compliance requirements and reporting procedures

9. Appendix C - Technical Support Procedures: Procedures for accessing and utilizing technical support

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Saudi Arabia

Publisher

Genie AI

Document Type

License Agreement

Sector

IP

Cost

Free to use
Relevant legal definitions












































Clauses









































Relevant Industries

Information Technology

Software Development

Telecommunications

Manufacturing

Healthcare Technology

Financial Services

Education Technology

Energy and Utilities

Media and Entertainment

Retail and E-commerce

Industrial Technology

Biotechnology

Automotive

Defense Technology

Professional Services

Relevant Teams

Legal

Commercial

Intellectual Property

Business Development

Technology

Compliance

Operations

Finance

Risk Management

Corporate Affairs

Relevant Roles

Chief Legal Officer

Legal Director

Commercial Director

Licensing Manager

Intellectual Property Manager

Contract Manager

Business Development Director

Chief Technology Officer

Chief Commercial Officer

General Counsel

Legal Counsel

Compliance Officer

Technology Transfer Manager

Partnership Manager

Operations Director

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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