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Source Code Licence Agreement

Source Code Licence Agreement Template for England and Wales

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Key Requirements PROMPT example:

Source Code Licence Agreement

"I need a Source Code Licence Agreement for licensing our proprietary machine learning algorithm to a major healthcare provider, with strict confidentiality provisions and usage restrictions for the European market only."

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Document background
The Source Code Licence Agreement is essential when a software developer or company wishes to license their source code while maintaining ownership rights. This document is particularly relevant in commercial software development, technology transfers, and collaborative development projects. Under English and Welsh law, it provides a comprehensive framework for protecting intellectual property while enabling controlled access to source code. The agreement typically includes detailed terms about usage rights, modifications, distribution restrictions, confidentiality obligations, and technical support arrangements. It's designed to balance the licensor's need to protect their intellectual property with the licensee's requirement for legitimate use of the source code.
Suggested Sections

1. Parties: Identification and details of the licensor and licensee

2. Background: Context of the agreement and ownership declaration of the source code

3. Definitions: Key terms used throughout the agreement

4. Grant of Licence: Scope and nature of the licence being granted

5. Licence Restrictions: Limitations on use of the source code

6. Intellectual Property Rights: Declaration and protection of IP rights

7. Confidentiality: Obligations regarding confidential information

8. Term and Termination: Duration and termination provisions

Optional Sections

1. Maintenance and Support: Terms for ongoing support services - include when ongoing technical support is part of the agreement

2. Source Code Escrow: Provisions for source code deposit with third party - include when providing business continuity assurance to licensee

3. Export Controls: Compliance with export regulations - include when international licensing is involved

4. Warranties and Indemnities: Additional protections and guarantees - include when specific performance guarantees are required

Suggested Schedules

1. Schedule 1 - Source Code Description: Detailed technical specification of the licensed source code

2. Schedule 2 - Licence Fees: Payment terms and fee structure

3. Schedule 3 - Maintenance and Support Services: Details of support services if applicable

4. Schedule 4 - Acceptable Use Policy: Specific terms governing acceptable use of the source code

Authors

Alex Denne

Head of Growth (Open Source Law) @ ºÚÁÏÊÓƵ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co
Relevant legal definitions





























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Industries

Copyright, Designs and Patents Act 1988: Primary legislation governing software protection, copyright holder rights, duration of protection, and moral rights in relation to source code

European Union (Withdrawal) Act 2018: Legislation covering retained EU law relating to intellectual property and its impact on cross-border licensing arrangements

Data Protection Act 2018 and UK GDPR: Regulations concerning personal data processing, data protection obligations, and cross-border data transfers that may be relevant if the source code handles personal data

Computer Misuse Act 1990: Legislation addressing security considerations and unauthorized access provisions in relation to computer systems and software

Contract Law Principles: Common law fundamentals including offer, acceptance, consideration, and intention to create legal relations

Confidentiality Law: Legal framework protecting trade secrets and governing non-disclosure obligations

Competition Law: Regulations preventing anti-competitive provisions and market restrictions in licensing agreements

Consumer Rights Act 2015: Legislation protecting consumer rights and regulating unfair contract terms, applicable if licensing to consumers

Export Control Laws: Regulations governing international licensing and cryptography restrictions for cross-border software distribution

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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