Common Production Licensing Terms
Term. The term of the
standard license is one year with option to renew.
Field of Use. A Commercial License is restricted
to a
Field of Use for a specific deployment environment
(such as the Internet, or specific private network) of
which more than one may be enumerated. Licenses nay be
negotiated for a single game title, product line,
service type, or other variant thereof.
Ownership. The Company represents that it
owns all rights, title, and interest in and to certain
proprietary technology, methods, systems, software,
know-how, intellectual property, and Patent Rights
related to Licensed Subject Matter and any or all
software distributed with any license. Licensee’s
License confers no title or ownership and is not a sale
of any rights. Additional grant-back rights apply, as
will be detailed in a complete contract.
Sublicensing. Sublicensing is allowed only for
Commercial Licensees. For example, you, a middleware
developer, may wish to include Secureplay libraries in
compiled format in your products. Your customers
are considered Sublicensees of Secureplay technology.
Licensee’s
Field of Use determines what sublicense types
they may issue. Our sublicense models are structured to
meet the business models of our customers. Sublicensing
agreements allow you to incorporate the SecurePlay
functionality within your products or services, and to
engage in:
- The sale or lease products and services
integrating SecurePlay Licensed Subject Matter to
other persons, or to,
- Engage in SecurePlay-protected transactions with
other persons, where those persons do not have a
direct license with IT GlobalSecure
Payment Structures. The structure of any
License Agreement is based on the Licensee’s business
model. Some Licensees focus on moving product boxes or
other tangible media, others deliver software downloads,
and yet other Licensees focus on high-volume
transactions, such as online subscription or
pay-per-play services. For this reason, we recognize
that businesses differ in their ability to monitor and
report on SecurePlay transactions, particularly when
such transactions may be implemented by their own
customers (e.g. Sublicensees)
In response, Secureplay has adopted payment
structures based on some selection or combination of the
following (generally, one or two apply):
- License Issue Fee
- Annual License
Maintenance Fee
- Running Royalty based
on Transaction Volume, or
- Running Royalties based
on Net Sales
- Fixed fee or running
royalty structures for Sublicensees
Payments for commercial licenses are submitted with
your quarterly reports. Most commercial Licensees will
remit payments dependent on Licensee’s Net Sales, which
includes revenues you receive for applications using the
Licensed Subject Matter, or disbursements that you issue
as rewards and prizes. Fixed fee payment structures can
also be negotiated.
Violations of Field of Use.
We urge Developer license types to
UPGRADE TO COMMERCIAL when their business needs change.
Licensees are to restrict their use of the Licensed
Subject Matter to the approved Field of Use. Should the
Licensee violate these restrictions, Licensee will be in
violation of this agreement, and subject to payments due
of seven percent (7%) on all net sales until such time
as the license is renegotiated or terminated by the
Company. Licensee will bear full responsibility for any
and all court costs associated with collection of fees
due. Penalty fees are due on Net 30 invoice terms each
month, and should be itemized by Licensee within a
report using the equivalent format of the Quarterly
Reports.
Indemnification. Licensee
shall at all times during the term of this Agreement and
thereafter hold harmless the Company , Affiliates of the
Company, and their respective officers, trustees,
directors, employees and agents from and against any
claims, proceedings, demands and liabilities of any kind
whatsoever, including legal expenses and reasonable
attorneys' fees, including without limitation those
arising on account of any injury or death of persons or
damage to property caused by, or arising out of, or
resulting from, the exercise or practice of the license
granted hereunder by Licensee, its Affiliates or their
officers, employees, agents or representatives. This
indemnification clause shall survive the termination of
this Agreement.
Additional trademark and patent
markings apply, as will be provided in a SecurePlay
commercial license contract for your review. Additional
clauses apply not detailed on this web page. |