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Floating Software License for Malaysia

Floating Software License Template for Malaysia

This agreement governs the terms and conditions for a floating software license arrangement under Malaysian law, enabling multiple users within an organization to share access to software applications through a network-based licensing system. The document incorporates compliance requirements with Malaysian legislation, including the Personal Data Protection Act 2010 and Electronic Commerce Act 2006, while detailing concurrent user limitations, license server specifications, usage monitoring, and authentication mechanisms. It provides comprehensive coverage of intellectual property rights, data protection obligations, and technical requirements specific to floating license deployment in a Malaysian legal context.

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What is a Floating Software License?

This Floating Software License agreement is designed for use when implementing network-based software licensing arrangements in Malaysia, where multiple users within an organization need to share access to software applications through a concurrent licensing model. The document addresses key aspects required under Malaysian law, including compliance with the Personal Data Protection Act 2010, Copyright Act 1987, and Electronic Commerce Act 2006. It is particularly suitable for organizations seeking to optimize software licensing costs while maintaining control over user access and usage monitoring. The agreement includes essential provisions for license server configuration, authentication mechanisms, usage restrictions, and data protection measures, making it appropriate for both domestic Malaysian deployments and international organizations operating within Malaysian jurisdiction.

What sections should be included in a Floating Software License?

1. Parties: Identification of the licensor and licensee, including registered addresses and company registration numbers

2. Background: Context of the agreement, brief description of the software, and purpose of the floating license arrangement

3. Definitions: Definitions of key terms including 'Concurrent Users', 'License Server', 'Authorized Network', 'Usage Metrics'

4. Grant of License: Scope of license, concurrent user limits, and territory restrictions

5. License Server and Authentication: Requirements for license server setup, authentication mechanisms, and network configuration

6. Usage Restrictions: Limitations on use, prohibited activities, and user access controls

7. Monitoring and Compliance: License monitoring, audit rights, and reporting requirements

8. License Fees: Payment terms, fee calculation methods, and payment schedules

9. Data Protection: Compliance with PDPA 2010, data collection policies, and privacy measures

10. Intellectual Property Rights: Ownership of IP, protection of rights, and infringement procedures

11. Term and Termination: Duration, renewal terms, and termination conditions

12. Warranties and Limitations: Software performance warranties, disclaimer of warranties, and limitation of liability

13. General Provisions: Standard clauses including notices, governing law, and dispute resolution

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

1. Service Level Agreement: Detailed service levels and support commitments, recommended for enterprise-level agreements

2. Disaster Recovery: Procedures for license server failures and emergency access provisions

3. Third-Party Integration: Terms for integration with other software systems, needed if software interfaces with other applications

4. Export Control: Export restrictions and compliance requirements, necessary for international use

5. Training and Support: Terms for user training and technical support, recommended for complex software

6. Custom Development: Terms for customization and modification rights, needed if software customization is offered

7. Beta Testing: Terms for beta feature testing and feedback, useful for evolving software products

What schedules should be included in a Floating Software License?

1. Schedule 1 - Software Description: Detailed description of software, modules, and features

2. Schedule 2 - Technical Requirements: System requirements, network specifications, and installation prerequisites

3. Schedule 3 - License Metrics: Detailed explanation of usage measurement and concurrent user calculations

4. Schedule 4 - Fee Schedule: Detailed pricing, payment terms, and fee calculation methods

5. Schedule 5 - Support Services: Support level details, response times, and escalation procedures

6. Appendix A - Acceptable Use Policy: Detailed rules and guidelines for software usage

7. Appendix B - Data Processing Agreement: Detailed terms for handling personal data in compliance with PDPA 2010

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

Malaysia

Publisher

Ƶ

Document Type

License Agreement

Cost

Free to use
Relevant legal definitions






























Clauses






























Relevant Industries

Information Technology

Software Development

Education

Healthcare

Financial Services

Manufacturing

Professional Services

Government

Telecommunications

Research and Development

Engineering

Consulting

Relevant Teams

Legal

Information Technology

Procurement

Compliance

Information Security

Software Asset Management

Enterprise Architecture

Operations

Risk Management

Vendor Management

Relevant Roles

Chief Technology Officer

IT Director

Software Licensing Manager

Legal Counsel

Procurement Manager

Information Security Officer

Systems Administrator

Contract Manager

Technology Compliance Officer

Enterprise Architect

Software Asset Manager

IT Operations Manager

Chief Information Officer

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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