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Software Agreement Contract for Indonesia

Software Agreement Contract Template for Indonesia

A comprehensive legal agreement governed by Indonesian law that establishes the terms and conditions for software licensing, implementation, and usage. This document addresses key aspects including license grants, intellectual property rights, data protection compliance under Indonesian regulations, technical specifications, support services, and payment terms. It incorporates specific provisions required by Indonesian electronic transaction laws and ensures compliance with local data protection requirements while protecting both the software provider's interests and the user's rights under Indonesian jurisdiction.

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What is a Software Agreement Contract?

The Software Agreement Contract is a crucial legal instrument used in Indonesia to formalize the relationship between software providers and users. This document is essential when organizations seek to license, implement, or utilize software solutions while ensuring compliance with Indonesian regulations, particularly Law No. 11 of 2008 on Electronic Information and Transactions and related data protection requirements. The agreement covers critical aspects such as licensing terms, implementation procedures, maintenance services, intellectual property protection, and data security measures. It is specifically designed to address the unique requirements of software transactions in the Indonesian market while providing adequate protection for all parties involved. The document is particularly important given Indonesia's growing digital economy and the increasing need for clear, legally-compliant software licensing frameworks.

What sections should be included in a Software Agreement Contract?

1. Parties: Identification of the contracting parties including full legal names, addresses, and registration numbers

2. Background: Context of the agreement and brief description of the business relationship

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. Term and Termination: Duration of the agreement and circumstances for termination

6. Payment Terms: License fees, payment schedule, and related financial terms

7. Delivery and Installation: Terms for software delivery, installation procedures, and acceptance criteria

8. Intellectual Property Rights: Protection of IP rights and ownership of the software

9. Warranties and Representations: Warranties regarding software performance and compliance with laws

10. Support and Maintenance: Terms for technical support and software maintenance services

11. Confidentiality: Protection of confidential information exchanged during the agreement

12. Data Protection: Compliance with Indonesian data protection laws and data handling procedures

13. Limitation of Liability: Limits on liability and indemnification provisions

14. Force Majeure: Provisions for unforeseen circumstances affecting contract performance

15. Governing Law and Dispute Resolution: Application of Indonesian law and dispute resolution procedures

What sections are optional to include in a Software Agreement Contract?

1. Third-Party Software: Include when the software incorporates third-party components, describing related terms and licenses

2. Source Code Escrow: Include when source code is to be held in escrow for business continuity purposes

3. Professional Services: Include when additional implementation or customization services are provided

4. Service Level Agreement: Include for software provided as a service (SaaS) to define performance metrics

5. Export Control: Include when software may be subject to international export restrictions

6. Insurance: Include when specific insurance coverage is required for high-value or critical software

7. Change Control: Include when formal procedures for software modifications are needed

8. Disaster Recovery: Include for critical software systems requiring specific recovery procedures

What schedules should be included in a Software Agreement Contract?

1. Schedule 1 - Software Description: Detailed description of the software, including features and functionality

2. Schedule 2 - Technical Requirements: Hardware and system requirements for software operation

3. Schedule 3 - Service Level Parameters: Detailed performance metrics and service levels

4. Schedule 4 - Support Services: Detailed description of support and maintenance services

5. Schedule 5 - Fee Schedule: Detailed breakdown of all fees and payment terms

6. Schedule 6 - Implementation Plan: Timeline and milestones for software implementation

7. Appendix A - Security Requirements: Security standards and protocols to be followed

8. Appendix B - Data Processing Terms: Detailed terms for handling and processing user data

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

Sector

IP

Cost

Free to use
Relevant legal definitions

















































Clauses






































Relevant Industries

Information Technology

Financial Services

Healthcare

E-commerce

Manufacturing

Education

Telecommunications

Professional Services

Government

Retail

Banking

Insurance

Logistics

Media and Entertainment

Relevant Teams

Legal

Information Technology

Procurement

Compliance

Risk Management

Software Development

Information Security

Operations

Vendor Management

Contract Administration

Relevant Roles

Chief Technology Officer

IT Director

Legal Counsel

Procurement Manager

Software Development Manager

Contract Manager

Information Security Officer

Compliance Officer

Technology Risk Manager

Software Licensing Manager

IT Operations Manager

Chief Information Officer

Chief Legal Officer

Business Development Manager

Project 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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