This software end user license agreement (EULA) is for licensing a commercial or off-the-shelf (without modification or customization) software product. The term "EULA" refers to an agreement that is not negotiated or signed by the parties. Rather, the licensor:
· Provides the licensee with a copy of the EULA
· Specifies that a contract will be formed if the licensee takes a certain action, for example
· Clicking on an "I accept" button placed at the end of the license terms; or
· Starts using the software.
Depending on the implementation of the agreement, it can be either a clickwrap or a browsewrap agreement. A clickwrap agreement requires the user to agree to its terms by taking an affirmative action (clicking “I agree”, checking the box, or alike). A browsewrap agreement does not require the user to take any action, but the link to its terms is placed in a prominent place to put the user on notice that the use of the product is governed by it.
EULAs usually:
· Are intended for a single user
· Are for end use of the software and not for redistribution
· Are not customized for different users
· Do not provide the software's source code to the licensees (it is required to modify and maintain software)
· Do not grant the right to make any changes to the software
· Are installed on the customer’s computer
· May or may not be industry-specific (consult an attorney on this matter)
There may be other considerations depending on the industry and type of the software, which should be carefully considered with the assistance of an experienced business lawyer.
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