The License and Service Agreement is essential for businesses operating in South Africa that provide or procure software solutions along with associated services. This document type is particularly relevant in today's digital economy where software deployment often comes bundled with implementation, maintenance, and support services. The agreement must comply with South African legislation, including the Protection of Personal Information Act (POPIA), Consumer Protection Act, and Electronic Communications and Transactions Act. It typically covers comprehensive licensing terms, service level commitments, data protection obligations, intellectual property rights, and operational requirements. This agreement type is commonly used in technology procurement, digital transformation projects, and software-as-a-service arrangements where ongoing service provision is integral to the licensed product's functionality.
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1. Parties: Identification and details of the contracting parties including registration numbers and addresses
2. Background: Context of the agreement and brief description of the business relationship
3. Definitions and Interpretation: Definitions of key terms and interpretation rules for the agreement
4. Grant of License: Scope, nature, and limitations of the license being granted
5. Services: Description of services to be provided, service levels, and delivery terms
6. Duration and Termination: Term of the agreement, renewal provisions, and termination circumstances
7. Fees and Payment: License fees, service charges, payment terms, and invoicing procedures
8. Intellectual Property Rights: IP ownership, protection, and usage rights
9. Confidentiality: Protection and handling of confidential information
10. Data Protection and Privacy: POPIA compliance and data handling obligations
11. Warranties and Representations: Warranties regarding software, services, and general representations
12. Limitation of Liability: Liability caps and exclusions as permitted under SA law
13. General Provisions: Standard clauses including notices, governing law, jurisdiction, and entire agreement
1. Source Code Escrow: Required when source code protection is needed for licensed software
2. Professional Services: Include when additional implementation or consulting services are provided
3. Training and Support: Details of training and support services if provided separately
4. Data Migration: Include when data migration services are part of the agreement
5. Change Control: Required for agreements where service or software modifications are anticipated
6. Disaster Recovery: Include for critical systems or services requiring business continuity provisions
7. Export Control: Required for international licensing arrangements
8. Anti-Bribery and Corruption: Include for high-value or public sector agreements
1. Schedule 1 - Licensed Software: Detailed description of licensed software components and versions
2. Schedule 2 - Service Level Agreement: Detailed service levels, metrics, and performance standards
3. Schedule 3 - Fee Schedule: Detailed breakdown of all fees, charges, and payment terms
4. Schedule 4 - Technical Requirements: Technical specifications and system requirements
5. Schedule 5 - Support Services: Details of support services, response times, and escalation procedures
6. Schedule 6 - Data Processing Agreement: POPIA-compliant data processing terms and procedures
7. Schedule 7 - Implementation Plan: Project timeline, milestones, and deliverables if applicable
8. Schedule 8 - Acceptable Use Policy: Terms and conditions for acceptable use of licensed software/services
Relevant legal definitions
Clauses
Relevant Industries
Information Technology
Financial Services
Healthcare
Telecommunications
Manufacturing
Retail
Professional Services
Education
Government
Mining
Energy
E-commerce
Insurance
Banking
Relevant Teams
Legal
Information Technology
Procurement
Compliance
Finance
Operations
Information Security
Vendor Management
Risk Management
Commercial Operations
Relevant Roles
Chief Technology Officer
Legal Counsel
Procurement Manager
IT Director
Commercial Director
Contract Manager
Chief Information Officer
Software Licensing Manager
Vendor Management Lead
Head of Legal
Chief Financial Officer
IT Procurement Specialist
Information Security Officer
Compliance Manager
Operations Director
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