This Perpetual Use License agreement is essential for software companies and developers looking to grant permanent, non-revocable usage rights to their software products in Malaysia. The document is specifically crafted to comply with Malaysian legal requirements, including the Copyright Act 1987, Contracts Act 1950, and relevant digital commerce regulations. It should be used when the intention is to provide indefinite use rights in exchange for a one-time payment, rather than subscription-based or term-limited licensing. The agreement covers crucial aspects such as scope of use, intellectual property protection, technical support arrangements, and compliance requirements, while incorporating Malaysian legal principles and commercial practices. This template is particularly valuable for both domestic and international software transactions within the Malaysian jurisdiction.
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1. Parties: Identification of the Licensor and Licensee with full legal names and addresses
2. Background: Context of the agreement, nature of the software, and general purpose of the license
3. Definitions: Definitions of key terms used throughout the agreement
4. License Grant: Scope of the perpetual license, permitted uses, and any territorial restrictions
5. License Fees: One-time payment terms and any ongoing maintenance fees
6. Intellectual Property Rights: Assertion of ownership and protection of IP rights
7. Use Restrictions: Specific prohibitions and limitations on use of the software
8. Licensee Obligations: Requirements for proper use, security measures, and compliance
9. Technical Support and Maintenance: Terms for ongoing support and maintenance services
10. Warranties and Representations: Warranties regarding software functionality and performance
11. Limitation of Liability: Limits on liability and disclaimers
12. Term and Termination: Duration of perpetual license and circumstances for termination
13. General Provisions: Standard legal provisions including governing law, notices, and assignment
1. Source Code Escrow: Terms for source code escrow arrangement, used when source code access might be needed for business continuity
2. Data Protection: Specific provisions for handling personal data, required if the software processes user data
3. Export Controls: Compliance with export regulations, needed for international use
4. Third-Party Software: Terms relating to incorporated third-party software, needed if the software includes third-party components
5. Service Level Agreement: Detailed service levels and performance metrics, used when specific performance guarantees are required
6. Audit Rights: Rights to audit licensee's use of the software, included for high-value enterprise licenses
1. Schedule 1 - Software Description: Detailed description of the software, including version numbers and components
2. Schedule 2 - Technical Requirements: Hardware and software requirements for operating the software
3. Schedule 3 - License Fees: Detailed breakdown of all applicable fees and payment terms
4. Schedule 4 - Support and Maintenance Services: Detailed description of support services, response times, and maintenance terms
5. Appendix A - Authorized Users: Definition and list of authorized users or user categories
6. Appendix B - Accepted Use Policy: Detailed rules and guidelines for acceptable use of the software
Relevant legal definitions
Clauses
Relevant Industries
Information Technology
Financial Services
Healthcare
Education
Manufacturing
Retail
Professional Services
Government
Telecommunications
Media and Entertainment
Energy and Utilities
Transportation and Logistics
Relevant Teams
Legal
Information Technology
Procurement
Compliance
Software Development
Commercial Operations
Risk Management
Business Development
Enterprise Architecture
Vendor Management
Relevant Roles
Chief Technology Officer
Legal Counsel
Software Licensing Manager
Procurement Manager
IT Director
Commercial Director
Software Development Manager
Contracts Manager
Compliance Officer
Business Development Manager
Technology Operations Manager
Enterprise Architecture Manager
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