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Paid Software License for Indonesia

Paid Software License Template for Indonesia

A comprehensive legal agreement governed by Indonesian law that establishes the terms and conditions under which software is licensed for use in exchange for payment. This document outlines the rights granted to the licensee, usage restrictions, payment terms, intellectual property rights, warranties, and support obligations while ensuring compliance with Indonesian regulations, particularly the Electronic Information and Transactions Law (ITE Law) and Copyright Law. It includes provisions for data protection, technical requirements, and dispute resolution mechanisms specific to the Indonesian legal framework.

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What is a Paid Software License?

The Paid Software License agreement serves as the primary legal instrument for software providers to commercialize their products in Indonesia while protecting their intellectual property rights. This document is essential when a company wishes to grant another party the right to use its software products in exchange for financial consideration. The agreement must comply with Indonesian legal requirements, particularly the Law No. 11 of 2008 on Electronic Information and Transactions and Law No. 28 of 2014 on Copyright. It should be used whenever a software provider is licensing their software for commercial use, whether it's standard off-the-shelf software or customized solutions. The document typically includes detailed terms about license scope, usage restrictions, payment obligations, support services, and compliance with local regulations.

What sections should be included in a Paid Software License?

1. Parties: Identification of the licensor and licensee with their complete legal details

2. Background: Context of the agreement and brief description of the software being licensed

3. Definitions: Definitions of key terms used throughout the agreement

4. License Grant: Scope and nature of the software license, including usage rights and restrictions

5. License Fees and Payment Terms: Details of license fees, payment schedule, and payment methods

6. Delivery and Installation: Terms regarding software delivery and basic installation requirements

7. Intellectual Property Rights: Confirmation of IP ownership and rights retention by licensor

8. Warranties and Representations: Warranties regarding software functionality and compliance with laws

9. Support and Maintenance: Basic support services and maintenance terms included in the license

10. Confidentiality: Protection of confidential information exchanged during the license term

11. Term and Termination: Duration of the license and circumstances for termination

12. Effects of Termination: Consequences and obligations upon agreement termination

13. Limitation of Liability: Limitations on liability and exclusions of damages

14. Governing Law and Dispute Resolution: Application of Indonesian law and dispute resolution mechanisms

15. General Provisions: Standard boilerplate clauses including notices, assignment, and amendments

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

1. Data Protection and Privacy: Required if the software processes personal data or requires compliance with Indonesian data protection regulations

2. Professional Services: Include if additional implementation, training, or consulting services are provided

3. Service Level Agreement: Required if specific performance levels or uptime guarantees are offered

4. Source Code Escrow: Include if source code escrow arrangements are part of the agreement

5. Export Controls: Required if the software is subject to international export restrictions

6. Third-Party Software: Include if the licensed software incorporates third-party components

7. Disaster Recovery: Required for critical software applications requiring backup and recovery procedures

8. Insurance: Include if specific insurance coverage is required from either party

What schedules should be included in a Paid Software License?

1. Software Description: Detailed technical specifications and functionality of the licensed software

2. License Fees Schedule: Breakdown of license fees, payment milestones, and pricing details

3. Technical Requirements: Minimum system requirements and technical specifications for software operation

4. Support Services Details: Detailed description of support services, response times, and escalation procedures

5. Authorized Users: Definition and limitations of authorized users and access rights

6. Acceptance Testing: Criteria and procedures for software acceptance testing if applicable

Authors

Alex Denne

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

Jurisdiction

Indonesia

Publisher

Ƶ

Document Type

License Agreement

Cost

Free to use
Relevant legal definitions
































Clauses



























Relevant Industries

Information Technology

Financial Services

Healthcare

Manufacturing

Retail

Education

Telecommunications

Professional Services

Government and Public Sector

Energy and Utilities

E-commerce

Media and Entertainment

Transportation and Logistics

Construction

Agriculture

Relevant Teams

Legal

Information Technology

Procurement

Finance

Compliance

Software Development

Operations

Risk Management

Vendor Management

Commercial Operations

Corporate Administration

Relevant Roles

Chief Technology Officer

IT Director

Legal Counsel

Procurement Manager

Software License Manager

Compliance Officer

Contract Administrator

Chief Information Officer

Chief Financial Officer

IT Asset Manager

Commercial Director

Software Development Manager

Legal Operations Manager

Risk Manager

Vendor Relations Manager

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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