CLAUSES

Below are all the sample terms found in the clause boxes of The Tech Contracts Handbook. They’re organized into: I. PRIME CLAUSES (licenses, promises of service, payment), II. GENERAL CLAUSES (indemnity, data security, limit of liability, and the rest of the meat of tech contracts), III. BOILERPLATE (typical back-of contract material, but more important than you think), and ONLINE POLICY DOCUMENTS. 

These clauses are provided free of charge, including for use in your contracts and your clients’ contracts. But they’re subject to our TERMS OF USE & PRIVACY,which includes both disclaimers and license restrictions on reselling the forms. In addition to the other disclaimers, please remember that none of the sample clauses below (including full-length online policy documents) will be appropriate for all business or legal situations. They usually need some customization.

• Prime Clauses
• General Clauses
• Boilerplate Clauses
• Online Policy Documents

Prime Clauses

• I-A: Standard End User Software License
  • 1- Reproduction and Use
    • Standard End User Reproduction and Use
  • 2- End User Restrictions
    • Standard End User Restrictions

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  I-B: Standard Distributor Software License

  • 1- Distribution
    • Standard Distribution Rights
  • 2- Distributor Restrictions
    • Standard Distributor Restrictions
  • 3- Minimum Obligations to Distribute
    • Minimum Obligations to Distribute

• ---

  I-C: Software Licenses in General

  • 1- Copyright License Rights
    • Copyright Licenses (with Limited or No Scope Terms)
  • 2- Scope Terms
    • Copyright Licenses with Scope Terms
  • 3- Unrestricted License
    • Unrestricted Copyright License

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  I-D: Technology Ownership: Assignment and Work-for-Hire

  • 1- Ownership of Work Product
    • Ownership of Work Product: Limited Transfer
    • Ownership of Work Product: Broad Transfer
  • 2- Transfer of Existing Assets
    • Ownership of Existing Assets
  • 3- Transfers from the Vendor’s Employees and Contractors
    • Staff Ownership Transfers

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  I-E: Subscription for Cloud Services

  • 1- Cloud Services Subscriptions
    • Cloud Services Subscriptions
  • 2- Cloud Resale
    • SaaS Resale: Vendor Hosted

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  I-F: Promise of Professional Services

  • Promise of Professional Services
  • 1- Defining the Professional Service
    • Description of Professional Services
  • 2- Statements of Work
    • Statement of Work Procedures
    • Statement of Work Form
  • 3- Change Orders
    • Change Order Procedures

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  I-G: Payment

  • 1- Customers’ Fees
    • Customers’ Fees
  • 2- Distributors’ and Resellers’ Fees
    • Distributors’ Fees
  • 3- Due Dates and Invoices
    • Invoices

Boilerplate Clauses

• III-A: Introduction and Recitals
  • Introduction and Recitals

• ---

  III-B: N/A

• ---

  III-C: Time Is of the Essence

  • Time Is of the Essence
  • Time Is of the Essence

• ---

  III-D: Independent Contractors

  • Independent Contractors

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  III-E: Choice of Law and Courts

  • Choice of Law and Jurisdiction

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  III-F: Notices

  • Notices

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  III-G: Government Restricted Rights

  • Government Restricted Rights

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  III-H: Technology Export

  • Technology Export

• ---

  III-I: Assignment

  • Assignment

• ---

  III-J: Force Majeure

  • Force Majeure

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  III-K: Severability

  • Severability

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  III-L: No Waiver

  • No Waiver

• ---

  III-M: Bankruptcy Rights

  • Bankruptcy Rights

• ---

  III-N: Conflicts among Attachments

  • Conflicts among Attachments

• ---

  III-O: Execution in Counterparts

  • Execution in Counterparts

• ---

  III-P: Construction

  • Construction

• ---

  III-Q: N/A

• ---

  III-R: Entire Agreement

  • Entire Agreement

• ---

  III-S: Amendment

  • Amendment
  • Unilateral Amendment

Online Policy Documents

• Acceptable Use Policy
• DMCA Policy
• DMCA Notice
• Privacy Policy

General Clauses

• II-A: Technical Specifications
  • 1& 2 – N/A
  • 3- Organizing and Editing Specifications
    • Technical Specifications Form
  • 4- Specifications as a Moving Target
    • Specifications as a Deliverable

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  II-B: Service Level Agreements

  • 1- Response, Repair, and Remedy
    • SLA Response & Remedy Terms
  • 2- The Material Breach Issue
    • SLA Material Breach & Termination
  • 3- SLA Modification
    • SLA Revisions

• ---

  II-C: Maintenance, Including Updates and Upgrades

  • Maintenance
  • Updates and Upgrades

• ---

  II-D: Documentation

  • SLA Revisions

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  II-E: Schedule and Milestones

  • Schedule of Professional Services
  • Termination for Customer’s Failure to Cooperate

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  II-F: Delivery, Acceptance, and Rejection

  • Delivery, Acceptance, and Rejection
  • Refund for Failed Deliverables

• ---

  II-G: Nondisclosure/Confidentiality

  • 1- What’s Confidential?
    • Confidential Information Defined
  • 2- Restrictions on Use
    • Nondisclosure
  • 3- Injunction, Termination, Retention of Rights, & DTSA Notice
    • Injunction, Termination, Retention of Rights, & DTSA Notice

• ---

  II-H: Data Management and Security

  • 1- Customer Data Defined
    • Customer Data Defined
  • 2- Data Management and E-Discovery
    • Data Management
    • Excluded Data
  • 3- Data Security
    • Data Security

• ---

  II-I: Warranty

  • 1- Warranty of Function
    • Warranty of Function
  • 2- Intellectual Property/Ownership Warranty
    • IP Warranty
    • Warranty of Originality
  • 3- Professional Services Warranty and Related Promises
    • Professional Services Quality Warranties
  • 4- Other Warranties
    • Special Warranties
  • 5- Disclaimers of Warranties
    • Warranty Disclaimers
  • 6- Remedies for Breach of Warranty and Similar Failures
    • Remedies for Breach of Warranty
    • IP Remedies without a Warranty

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  II-J: Indemnity

  • 1- Indemnity in General
    • Generic Indemnity Clause
  • 2- Indemnities from the Vendor
    • Indemnities from the Vendor
  • 3- Exclusions from IP Indemnity
    • Four Exclusions from IP Indemnity
    • The Fifth Exclusion from IP Indemnity: Combination
  • 4- Indemnities from the Customer, Distributor, or Reseller
    • Indemnities from the Customer
    • Indemnities from the Distributor
  • 5- Mutual Indemnities
    • Mutual Indemnities
    • Status-Based Mutual Indemnity, Data Breach

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  II-K: Limitation of Liability

  • 1- Dollar Cap
    • Dollar Cap Limitation of Liability
  • 2- Exclusion of Consequential Damages
    • Exclusion of Consequential Damages
  • 3- Unconscionability and Required Clarifications
    • Clarifications and Disclaimers
  • 4- Exceptions: Liability That’s Not Limited
    • Exceptions to Limitation of Liability

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  II-L: Use of Trademarks

  • Use of Names and Trademarks

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  II-M: Training

  • Training

• ---

  II-N: Feedback Rights

  • Feedback License
  • Feedback Disclaimer

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  II-O: Non-Compete and Employee Non-Solicit

  • 1- Non-Compete
    • Non-Compete: Restriction on Serving Competitors
  • 2- Employee Non-Solicit
    • Employee Non-Solicit

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  II-P: Software Audits

  • Software Audit
  • Vendor’s Fees for Unauthorized Use (Back Fees)

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  II-Q: Liquidated Damages

  • Specification of Liquidated Damages
  • Justification for Liquidated Damages

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  II-R: Disaster Recovery

  • Disaster Recovery Plan
  • Failure of Disaster Recovery

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  II-S: Technology Escrow

  • Separate Escrow Agreement
  • 1- Deposit and Verification
    • Escrow Deposit and Verification
  • 2- License and Confidentiality
    • Escrow License
  • 3- Release and Other Issues
    • Escrow Release Conditions
  • 4- Cloud Services Escrow and Pseudo-Escrow
    • Cloud Services Pseudo-Escrow

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  II-T: Financial Stability

  • 1- Financial Reporting
    • Financial Reporting
  • 2- Insurance
    • Insurance

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  II-U: Alternate Dispute Resolution

  • Dispute Resolution

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  II-V: Term and Termination

  • 1- Term
    • Term
  • 2- Termination for Cause
    • Termination for Cause
  • 3- Termination for Convenience
    • Termination for Convenience
  • 4- Effects of Termination
    • Effects of Termination