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Software Licence Agreements

Software development generally requires considerable investment both in terms of time and money. Software developers will naturally want to protect their investment when releasing their product to users.

The software licences in this subfolder provide considerable protection for the intellectual property rights subsisting in software and indeed for the software itself. By clearly setting out what the user may or may not do with a piece of software in a software licence, developers can ensure that they maximise returns on their investments, restrict free-riding use of their creative and inventive work, and produce software that remains stable across a broad range of computer systems.

Open source software is an increasingly popular alternative to proprietary software licensing. Free Open Source Software Licences can be found both here in the Business Documents Folder and in the Free Documents Folder (no purchase required).

Software Licence Agreements is part of Business . Just £38.50 + VAT provides unlimited downloads from Business for 1 year.

Frequently Asked Questions

I have built software, how do I stop customers copying or misusing it? +
Licence it on clear terms rather than just handing it over. Software is protected by copyright under the Copyright, Designs and Patents Act 1988, and a licence is how you set out exactly what the user may and may not do: how many users or machines, no copying beyond backup, no reverse engineering or redistribution. Breaching the licence is then both a contract breach and potentially copyright infringement. These licence templates give developers that protection.
What is the difference between licensing software and selling it? +
Selling would transfer ownership; licensing keeps ownership with you and grants permission to use the software on set terms. Almost all software is licensed, because it lets the developer control use, protect the code and licence the same product to many customers. The customer gets rights to use, not the intellectual property itself. Your licence defines the scope, so draft it to match how you actually want the software used.
Should I use a proprietary licence or an open source one? +
It depends on your aim. A proprietary licence, like these templates, restricts copying, modification and redistribution to protect your investment and revenue. An open source licence deliberately allows others to use and build on the code under set conditions. If you want to control and monetise the software, use a proprietary licence. If you want community development and wide use, see the open source licences in this group. They serve opposite goals.
Can I limit my liability if the software has bugs or causes a loss? +
Yes, within limits. Software licences routinely exclude warranties that the software is error free or fit for a particular purpose, and cap liability. But under the Unfair Contract Terms Act 1977 you cannot exclude liability for death or personal injury from negligence, and other exclusions must be reasonable, more so in consumer contracts. So exclude and cap sensibly rather than absolutely. These licences include liability and warranty clauses you can tailor to your risk.
Business Buy Only £38.50 + VAT!
Unlimited Downloads for One Year
No Auto-Renewal
All IT & Software

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