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Application Software License Agreement Template for Malaysia

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Key Requirements PROMPT example:

Application Software License Agreement

"I need an Application Software License Agreement for our enterprise resource planning software to be licensed to Malaysian manufacturing companies, including provisions for data migration, user training, and ongoing maintenance support services starting from March 2025."

Document background
The Application Software License Agreement serves as the primary legal framework for software licensing transactions in Malaysia. This document is essential when a software provider wishes to grant usage rights to their application software while maintaining ownership of the intellectual property. It ensures compliance with Malaysian legislation, including the Copyright Act 1987, Personal Data Protection Act 2010, and relevant electronic commerce laws. The agreement typically covers license scope, fees, maintenance, support services, warranties, and liability limitations. It's particularly important for enterprise software deployments where clear terms of use, service levels, and data protection requirements need to be established. The document should be customized based on factors such as deployment model (on-premise/cloud), type of end-users, and specific industry requirements while maintaining compliance with Malaysian legal requirements.
Suggested Sections

1. Parties: Identification of the licensor and licensee with full legal names and registration details

2. Background: Context of the agreement and brief description of the software product

3. Definitions: Key terms used throughout the agreement including Software, Documentation, Intellectual Property Rights, etc.

4. Grant of License: Scope of license, usage rights, and restrictions

5. License Fees and Payment: Payment terms, fee structure, and payment schedule

6. Delivery and Installation: Terms for software delivery, installation requirements and acceptance criteria

7. Intellectual Property Rights: Ownership of IP, protection of rights, and infringement provisions

8. Confidentiality: Protection of confidential information and trade secrets

9. Warranties and Representations: Standard warranties for software functionality and performance

10. Limitation of Liability: Limits on liability and exclusions permitted under Malaysian law

11. Term and Termination: Duration of agreement, renewal terms, and termination rights

12. General Provisions: Standard boilerplate clauses including governing law, notices, and assignment

Optional Sections

1. Data Protection and Privacy: Required when software processes personal data, ensuring compliance with PDPA 2010

2. Maintenance and Support: Include when ongoing support and maintenance services are provided

3. Service Levels: Include for enterprise software with specific performance requirements

4. Security Requirements: Required for software handling sensitive data or requiring specific security measures

5. Third-Party Software: Include when the software incorporates third-party components

6. Export Controls: Required for software subject to international distribution

7. Professional Services: Include when implementation or customization services are provided

8. Disaster Recovery: Required for business-critical enterprise applications

Suggested Schedules

1. Schedule 1 - Software Description: Detailed description of the licensed software and its components

2. Schedule 2 - License Fees: Detailed breakdown of license fees and payment schedule

3. Schedule 3 - Technical Requirements: Minimum system requirements and technical specifications

4. Schedule 4 - Service Level Agreement: Detailed service levels and support terms if applicable

5. Schedule 5 - Maintenance Services: Description of maintenance and support services if provided

6. Appendix A - Acceptable Use Policy: Detailed terms of acceptable use and restrictions

7. Appendix B - Data Processing Terms: Detailed data protection and processing terms if applicable

8. Appendix C - Security Requirements: Detailed security requirements and compliance standards

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈ˰æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions



























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Relevant Industries

Information Technology

Software Development

Financial Services

Healthcare

Manufacturing

Retail

Professional Services

Education

Telecommunications

Government and Public Sector

Relevant Teams

Legal

Information Technology

Procurement

Compliance

Information Security

Software Development

Vendor Management

Risk Management

Technical Operations

Commercial

Relevant Roles

Chief Technology Officer

IT Director

Software Licensing Manager

Legal Counsel

Procurement Manager

Information Security Officer

Contract Manager

Software Development Manager

Compliance Officer

Enterprise Architect

Technology Risk Manager

Vendor Management Officer

Technical 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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