The Software Reseller Agreement is essential for software companies seeking to expand their distribution network in Saudi Arabia through authorized resellers. This document is particularly crucial given Saudi Arabia's unique legal framework, which combines modern commercial law with Islamic Shariah principles. It's typically used when a software company wants to establish a formal relationship with a local distributor who will market and sell their products in the Saudi market. The agreement must comply with various regulations including the Commercial Agencies Law, E-Commerce Law, and data protection requirements. It covers critical aspects such as licensing terms, territory rights, revenue sharing, support obligations, and compliance requirements. The document is structured to protect both parties' interests while ensuring adherence to local laws, making it a fundamental tool for software distribution arrangements in the Saudi market.
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1. Parties: Identification of the software owner/licensor and the reseller, including full legal names and addresses
2. Background: Context of the agreement, including brief description of the software and business relationship
3. Definitions: Detailed definitions of key terms used throughout the agreement
4. Appointment and Territory: Scope of reseller appointment and defined geographic territory for operations
5. Grant of Rights: Specific rights granted to reseller, including licensing terms and restrictions
6. Term and Renewal: Duration of the agreement and conditions for renewal
7. Reseller Obligations: Core responsibilities of the reseller including marketing, sales, and reporting requirements
8. Licensor Obligations: Core responsibilities of the software owner including support and updates
9. Intellectual Property Rights: Protection and ownership of software IP, trademarks, and related materials
10. Financial Terms: Pricing, payment terms, and commission structures compliant with Shariah principles
11. Compliance: Obligations to comply with Saudi laws, export controls, and regulatory requirements
12. Confidentiality: Protection of confidential information and trade secrets
13. Termination: Grounds and procedures for termination, including notice periods and consequences
14. Post-Termination: Rights and obligations of parties after agreement termination
15. General Provisions: Standard legal clauses including notices, assignment, and governing law
1. Exclusivity Terms: Used when granting exclusive distribution rights in specific territories
2. Minimum Purchase Requirements: Include when setting specific sales targets or minimum order quantities
3. Training and Certification: Required when reseller must complete specific training programs
4. Marketing Requirements: Detailed marketing obligations and co-branding requirements
5. Technical Support Level: When reseller is required to provide specific levels of technical support
6. Localization Rights: Terms for modifying or translating software for local market
7. Data Protection: Specific data handling requirements if dealing with personal data
8. Insurance Requirements: Specific insurance coverage requirements for higher-value agreements
9. Source Code Escrow: Terms for source code protection in critical implementations
10. Sub-reseller Rights: Terms for allowing appointment of sub-resellers
1. Schedule A - Licensed Software: Detailed list of software products covered by the agreement
2. Schedule B - Territory Definition: Detailed description of authorized sales territory
3. Schedule C - Pricing and Commission Structure: Detailed pricing terms, discount levels, and commission calculations
4. Schedule D - Service Level Agreement: Technical support and maintenance service levels
5. Schedule E - Marketing Guidelines: Branding requirements and marketing standards
6. Schedule F - Performance Metrics: Specific KPIs and performance measurement criteria
7. Schedule G - Technical Requirements: Minimum technical specifications and infrastructure requirements
8. Schedule H - Training Requirements: Required training programs and certification processes
9. Appendix 1 - Compliance Checklist: Saudi law compliance requirements and checklist
10. Appendix 2 - Standard Forms: Standard forms for ordering, reporting, and customer agreements
Relevant legal definitions
Clauses
Relevant Industries
Information Technology
Software Development
Technology Distribution
Enterprise Software
Cloud Services
E-commerce
Systems Integration
IT Consulting
Digital Services
Telecommunications
Relevant Teams
Legal
Sales
Business Development
Partner Relations
Compliance
Information Technology
Commercial Operations
Channel Management
Contract Administration
Software Licensing
Partner Success
Relevant Roles
Chief Executive Officer
Commercial Director
Legal Counsel
Sales Director
Channel Manager
Business Development Manager
Compliance Officer
IT Director
Software Licensing Manager
Partner Relations Manager
Distribution Manager
Regional Sales Manager
Contract Administrator
Chief Technology Officer
Partner Success Manager
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