Allowing Licensee to use the Software of Licensor License
Agreement between Licensor and Licensee
License Agreement made on the day of , 20 ,
between of ,
(Name of Licensee) (Street Address, City, County, State, Zip Code)
referred to herein as Licensee, and , a corporation
(Name of Licensor)
organized and existing under the laws of the state of , with its
(Name of State)
principal office located at , referred
(Street Address, City, County, State, Zip Code)
to herein as Licensor.
For and in consideration of the mutual covenants contained in this Agreement, and other
good and valuable consideration, the parties agree as follows:
I. License.
Licensor hereby grants to Licensee a non-exclusive, non-assignable, non-transferrable
license to use Licensor's software (the Licensed Software ) and trademarks (the Trademarks )
and to participate in Licensor's website (the Website ) (collectively referred to as Licensor's
Property ). Licensee accepts the license and agrees to be bound by the terms and conditions of
this Agreement. Licensee shall not reverse engineer, disassemble or decompile any software
provided by Licensor, or otherwise attempt in any fashion other than as permitted by Licensor in
writing, to obtain the source code to the Licensed Software.
II. Title.
Licensor shall own all right, title and interest in and to all intellectual property, including
any patent, copyright, trademark, trade secret and similar rights, in Licensor's Property or any
other deliverable or work product arising out of or in connection with performance by Licensor
or its Affiliates pursuant to this Agreement. The parties acknowledge that performance hereunder
may result in the development by Licensor of new concepts, software, methods, techniques,
processes, adaptations and ideas, in addition to Licensor's prior technology, which shall also
belong to Licensor.
III. Payments and Fees.
A. In consideration of Licensor's performance hereunder, Licensee shall pay to
Licensor the following non-refundable fees: (i) a monthly participation fee of
$ due on the first day of each month during the term of this Agreement;
and (ii) a commission of % (the Commission ) on all contracts or purchase
orders for Licensee's products or services ( Licensee Products ), sold or contracted to be
sold by Licensee through the use of Licensor's Property, which amounts shall be payable
within thirty (30) days after the awarding of a contract or submission of the purchase
order. As used herein, Fees shall mean, collectively, the monthly Participation Fee and
Allowing Licensee to use the Software of Licensor License Agreement Page 1 of 5
the Commission. A service charge of one and one-half percent (1.5%) per month or the
highest lawful interest rate, whichever is lower, will be applied to all amounts which are
not paid when due under this Agreement, such interest accruing from the due date.
Licensee shall, within fifteen (15) days of receipt of any invoice which it disputes,
provide written notice to Licensor of its dispute setting forth in reasonable detail the
reason and basis for any such dispute. Absent any such notice, such invoice shall be
deemed accepted. All fees and charges payable are exclusive of Taxes.
B. Licensee shall provide Licensor summarized quarterly reports relating to the Fees
(in detail and computer format as reasonably required by Licensor). Reports covering the
prior calendar month will be provided to Licensor within fifteen (15) days following the
end of that month, along with any Fees due to Licensor, payable by check or wire transfer
of immediately available funds. Licensee shall maintain, in accordance with standard
business practices, a complete, clear and accurate record of the contracts or purchase
orders it has bid on and won using Licensor's Property, and all Fees payable in respect
thereof, and shall permit Licensor to examine such records upon Licensor's reasonable
advance written request. Such records shall be maintained for a minimum of three (3)
years. Licensor shall have the right at its expense to have an independent, certified public
accountant audit Licensee's records and books of account related to this Agreement for
the sole purpose of verifying compliance with the payment terms of this Agreement. If
the audit reveals that the amount which should have been paid to Licensor is five percent
(5%) or more than the amount paid by Licensee, Licensee shall pay the cost of the audit
to Licensor.
IV. Termination.
Either party may terminate this Agreement at any time on thirty (30) days written notice
to the other party. The licenses granted herein shall become null and void upon the termination
of this Agreement. Upon any termination of this Agreement or any part hereof, all amounts owed
by Licensee to Licensor shall become immediately due and payable. Without limiting any of the
above provisions, in the event of termination by Licensee of this Agreement, Licensee shall
continue to be obligated for any payments due. Termination of this Agreement shall be in
addition to and not in lieu of any equitable or other remedies available to either Licensor or
Licensee. The respective rights and obligations of the parties under the provisions of Articles V
and VII shall also survive any termination of this Agreement.
V. Limited Warranties and Indemnities.
A. Except as expressly set forth in this Article VI, there are no warranties with
respect to Licensor's Property. Licensor and its suppliers make no warranty that the
licensed software will meet licensee's requirements or that Licensor's Property will be
error free or run without interruption. Licensor makes and licensee receives no other
warranties whether express, implied, or statutory, and licensor expressly disclaims all
other warranties, including the implied warranties of merchantability, non-infringement
and fitness for a particular purpose. Licensee shall defend, indemnify and hold harmless
Licensor from and against any claim, demand, cause of action, debt, or liability, including
reasonable attorney's fees which arises or results from the Licensee's Products, including
any representations made by Licensee or a sublicensee, any representations or warranties
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granted in excess of those made by Licensor or inadequate installation, maintenance or
support by Licensee of Licensee's Products.
B. Neither party nor its suppliers shall be responsible for any indirect, special,
incidental, punitive, or consequential damages, including without limitation, loss of
profits, loss of business or loss of revenue, even if advised of the possibility of such
damages. The foregoing shall apply regardless of the negligence or other fault and
regardless of whether such liability sounds in contract, negligence, strict liability, tort, or
any other theory of legal liability.
VI. Trademarks.
Licensee acknowledges and agrees that it is necessary for Licensor to maintain uniform
standards governing all facets of Licensor's products and services, including those relating to
Licensee Products, in order to provide users with high quality and consistent levels of service,
and to protect the reputation and goodwill associated with Licensor products and services.
Licensee agrees that all use of the Trademarks shall be in accordance with Licensor's then
current trademark use guidelines and Licensee agrees to cooperate with Licensor in facilitating
Licensor's monitoring and control of the nature and quality of materials or products bearing the
Trademarks. Licensee acknowledges and agrees that:
A. The Trademarks are and shall remain the sole property of Licensor;
B. Nothing in this Agreement shall convey to the Licensee any right of ownership in
the Trademarks;
C. Licensee shall not now or in the future contest the validity of the Trademarks; and
D. Licensee shall not in any manner take any action that would impair the value of,
or goodwill associated with, such Trademarks. Licensee acknowledges and agrees that all
use of Trademarks by Licensee shall inure to the benefit of Licensor.
VII. Confidentiality.
Either party (the Disclosing Party ) may from time to time disclose Confidential
Information to the other party (the Recipient ). Confidential Information is all nonpublic
information concerning the business, technology, internal structure and strategies of the
Disclosing Party which is conveyed to the Recipient orally or in tangible form and is either
marked as confidential or which due to the circumstances surrounding its disclosure, such
information would be reasonably construed as confidential . During the term of this Agreement
and for a period of three (3) years thereafter, Recipient will keep in confidence and trust and will
not disclose or disseminate, or permit any employee, agent or other person working under
Recipient's direction to disclose or disseminate, the existence, source, content or substance of any
Confidential Information to any other person. Recipient's employees and independent contractors
will be given access to the Confidential Information only on a need-to-know basis, and only if
they have executed a form of non-disclosure agreement with Recipient which imposes a duty to
maintain the confidentiality of information identified or described as confidential by Recipient
and after Recipient has expressly informed them of the confidential nature of the Confidential
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Information. Recipient will not copy or load any of the Confidential Information onto any
computing device or store the Confidential Information electronically except in circumstances in
which Recipient has taken all necessary precautions to prevent access to the information stored
on the relevant device or electronic storage facility by anyone other than the persons entitled to
receive the Confidential Information hereunder.
VIII. Severability. The invalidity of any portion of this Agreement will not and shall not be
deemed to affect the validity of any other provision. If any provision of this Agreement is held to
be invalid, the parties agree that the remaining provisions shall be deemed to be in full force and
effect as if they had been executed by both parties subsequent to the expungement of the invalid
provision.
IX. No Waiver. The failure of either party to this Agreement to insist upon the performance
of any of the terms and conditions of this Agreement, or the waiver of any breach of any of the
terms and conditions of this Agreement, shall not be construed as subsequently waiving any such
terms and conditions, but the same shall continue and remain in full force and effect as if no such
forbearance or waiver had occurred.
X. Governing Law. This Agreement shall be governed by, construed, and enforced in
accordance with the laws of the State of .
(Name of State)
XI. Notices. Unless provided herein to the contrary, any notice provided for or concerning
this Agreement shall be in writing and shall be deemed sufficiently given when sent by certified
or registered mail if sent to the respective address of each party as set forth at the beginning of
this Agreement.
XII. Attorney’s Fees. In the event that any lawsuit is filed in relation to this Agreement, the
unsuccessful party in the action shall pay to the successful party, in addition to all the sums that
either party may be called on to pay, a reasonable sum for the successful party's attorney fees.
XIII. Mandatory Arbitration. Notwithstanding the foregoing, and anything herein to the
contrary, any dispute under this Agreement shall be required to be resolved by binding
arbitration of the parties hereto. If the parties cannot agree on an arbitrator, each party shall select
one arbitrator and both arbitrators shall then select a third. The third arbitrator so selected shall
arbitrate said dispute. The arbitration shall be governed by the rules of the American Arbitration
Association then in force and effect.
XIV. Entire Agreement. This Agreement shall constitute the entire agreement between the
parties and any prior understanding or representation of any kind preceding the date of this
Agreement shall not be binding upon either party except to the extent incorporated in this
Agreement.
XV. Modification of Agreement. Any modification of this Agreement or additional
obligation assumed by either party in connection with this Agreement shall be binding only if
placed in writing and signed by each party or an authorized representative of each party.
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XVI. Assignment of Rights. The rights of each party under this Agreement are personal to that
party and may not be assigned or transferred to any other person, firm, corporation, or other
entity without the prior, express, and written consent of the other party.
XVII Counterparts. This Agreement may be executed in any number of counterparts, each of
which shall be deemed to be an original, but all of which together shall constitute but one and the
same instrument.
XVIII. Compliance with Laws. In performing under this Agreement, all applicable
governmental laws, regulations, orders, and other rules of duly-constituted authority will be
followed and complied with in all respects by both parties.
WITNESS our signatures as of the day and date first above stated.
(Name of Licensor)
(Signature of Licensee) (Signature of Officer)
By: By:
(P rinted Name of Licensee) (P rinted Name & Office in Corporation)
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