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Software Subscription Agreement for Malaysia

Software Subscription Agreement Template for Malaysia

A comprehensive legal agreement governed by Malaysian law that establishes the terms and conditions for the provision and use of software services on a subscription basis. This document addresses key aspects including service delivery, data protection under the Personal Data Protection Act 2010, payment terms, service levels, and user rights while ensuring compliance with Malaysian electronic commerce regulations. It includes provisions for data security, intellectual property protection, and dispute resolution specific to the Malaysian jurisdiction.

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What is a Software Subscription Agreement?

The Software Subscription Agreement serves as the primary contractual framework for software-as-a-service arrangements in Malaysia. This document is essential for businesses providing or subscribing to software services, ensuring compliance with Malaysian legislation including the Electronic Commerce Act 2006, Personal Data Protection Act 2010, and Contracts Act 1950. It outlines the rights and obligations of both providers and subscribers, covering crucial aspects such as service delivery, data protection, payment terms, and service level commitments. The agreement is structured to accommodate various business models while maintaining consistency with Malaysian legal requirements and commercial practices.

What sections should be included in a Software Subscription Agreement?

1. Parties: Identification of the contracting parties - the software provider and the subscriber

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

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

4. Subscription Terms: Details of the subscription, including duration, renewal terms, and termination rights

5. License Grant: Scope of software license, usage rights, and restrictions

6. Fees and Payment: Pricing, payment terms, billing cycles, and payment methods

7. Service Level Agreement: Performance standards, availability commitments, and support services

8. Data Protection and Security: Compliance with PDPA 2010, data security measures, and privacy obligations

9. Intellectual Property Rights: IP ownership, restrictions, and protections

10. Confidentiality: Protection of confidential information and trade secrets

11. Warranties and Disclaimers: Service warranties, performance guarantees, and limitation of warranties

12. Limitation of Liability: Liability caps and exclusions

13. Termination: Termination rights, process, and consequences

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

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

1. Professional Services: Include when additional implementation, training, or consulting services are provided

2. Third-Party Integrations: Include when the software interfaces with third-party applications or services

3. Disaster Recovery: Include for enterprise clients requiring specific disaster recovery commitments

4. Compliance with Industry Standards: Include when serving regulated industries (e.g., healthcare, financial services)

5. User Hierarchy and Administration: Include for enterprise subscriptions with multiple user levels and administrative rights

6. Geographic Restrictions: Include when service availability is limited to specific regions or has region-specific terms

7. Custom Development: Include when bespoke development or customization is part of the service

What schedules should be included in a Software Subscription Agreement?

1. Service Description: Detailed description of the software service, features, and functionality

2. Service Level Agreement Details: Detailed performance metrics, support levels, and remedies

3. Fee Schedule: Detailed pricing, payment terms, and fee calculations

4. Technical Requirements: Minimum system requirements and technical specifications

5. Security Standards: Detailed security protocols and compliance requirements

6. Data Processing Agreement: Detailed terms for personal data processing under PDPA 2010

7. Acceptable Use Policy: Rules and restrictions for use of the software service

8. Support Services Description: Details of support services, processes, and escalation procedures

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

Service Agreement

Cost

Free to use
Relevant legal definitions


























Clauses






























Relevant Industries

Technology

Financial Services

Healthcare

Education

Retail

Manufacturing

Professional Services

Telecommunications

E-commerce

Government

Media and Entertainment

Relevant Teams

Legal

Information Technology

Procurement

Sales

Compliance

Information Security

Operations

Product Development

Risk Management

Customer Success

Business Development

Relevant Roles

Chief Technology Officer

Legal Counsel

Procurement Manager

IT Director

Software Development Manager

Compliance Officer

Contract Manager

Information Security Officer

Sales Director

Operations Manager

Business Development Manager

Risk Manager

Product Manager

Account Executive

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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