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Proprietary Software Licence for Saudi Arabia

Proprietary Software Licence Template for Saudi Arabia

A comprehensive legal agreement governed by Saudi Arabian law that establishes the terms and conditions under which proprietary software is licensed from a provider to a customer. The document addresses key aspects including license scope, usage rights, fees, maintenance, support, and compliance with local regulations including Sharia law principles. It includes specific provisions for data protection, cybersecurity requirements, and electronic transaction regulations in accordance with Saudi Arabian legislation, while ensuring the protection of the licensor's intellectual property rights and defining the licensee's obligations and restrictions.

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Proprietary Software Licence

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What is a Proprietary Software Licence?

This Proprietary Software License Agreement template is designed for use in the Saudi Arabian market where software licensing must comply with both international standards and local legal requirements, including Sharia law principles. The agreement is typically used when a software provider wishes to grant a customer the right to use their proprietary software while maintaining ownership of the intellectual property. It contains comprehensive provisions covering license scope, fees, technical support, maintenance, data protection, and security requirements specific to Saudi Arabia. The document ensures compliance with Saudi Arabian regulations including the Copyright Law, E-Commerce Law, and Anti-Cyber Crime Law, while incorporating necessary provisions for electronic transactions and data protection. This agreement type is particularly important in the Saudi market given the kingdom's increasing focus on digital transformation and technology adoption across various sectors.

What sections should be included in a Proprietary Software Licence?

1. Parties: Identification of the licensor and licensee, including full legal names, registration numbers, and addresses

2. Background: Context of the agreement, description of the software, and general purpose of the license

3. Definitions: Detailed definitions of technical and legal terms used throughout the agreement

4. Grant of License: Scope and nature of the license, including usage rights and territory restrictions

5. License Fees and Payment Terms: Financial terms, payment schedule, and currency specifications

6. Intellectual Property Rights: Confirmation of ownership and protection of IP rights in the software

7. Confidentiality: Protection of confidential information and trade secrets

8. Licensee Obligations: Key responsibilities and restrictions on the licensee's use of the software

9. Technical Support and Maintenance: Terms for ongoing support, updates, and maintenance services

10. Term and Termination: Duration of the license and circumstances for termination

11. Warranties and Disclaimers: Software performance warranties and limitation of liability

12. Data Protection and Security: Compliance with Saudi data protection laws and security requirements

13. Governing Law and Dispute Resolution: Application of Saudi law and dispute resolution mechanisms

14. General Provisions: Standard boilerplate clauses including force majeure, notices, and assignment

What sections are optional to include in a Proprietary Software Licence?

1. Third-Party Software Components: Used when the software includes third-party components, describing additional terms and restrictions

2. Export Controls: Required when the software is subject to international export restrictions

3. Source Code Escrow: Included when source code escrow arrangements are part of the agreement

4. Professional Services: Added when implementation or customization services are included

5. Service Level Agreement: Required for software with specific performance guarantees or cloud-based solutions

6. Disaster Recovery: Included for business-critical software applications

7. Agency and Distribution Rights: Added when the license includes rights to distribute or resell the software

8. Localization Requirements: Used when specific Saudi Arabian localization or Arabic language support is required

What schedules should be included in a Proprietary Software Licence?

1. Schedule 1 - Software Description: Detailed technical specifications and functionality of the licensed software

2. Schedule 2 - License Fees: Detailed breakdown of license fees, payment schedules, and pricing models

3. Schedule 3 - Technical Support Services: Specification of support levels, response times, and maintenance services

4. Schedule 4 - Service Level Agreement: Performance metrics, availability requirements, and remedies for non-compliance

5. Schedule 5 - Security Requirements: Detailed security protocols and compliance requirements

6. Appendix A - Authorized Users: Definition and limitations of authorized users and access rights

7. Appendix B - Installation Requirements: Technical requirements for software installation and deployment

8. Appendix C - Acceptance Testing: Criteria and procedures for software acceptance testing

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

Saudi Arabia

Publisher

Ƶ

Document Type

License Agreement

Sector

IP

Cost

Free to use
Relevant legal definitions



















































Clauses









































Relevant Industries

Information Technology

Financial Services

Healthcare

Government & Public Sector

Manufacturing

Retail

Telecommunications

Education

Oil & Gas

Professional Services

Defense & Security

Construction

Transportation & Logistics

Relevant Teams

Legal

Information Technology

Procurement

Compliance

Information Security

Commercial

Risk Management

Operations

Finance

Technical Support

Relevant Roles

Chief Technology Officer

Legal Counsel

IT Director

Procurement Manager

Software Licensing Manager

Compliance Officer

Information Security Manager

Contract Manager

Chief Information Officer

Technical Project Manager

Commercial Director

Risk Manager

Software Asset Manager

IT Operations Manager

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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