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Software License Agreements FAQ

software license agreement

What is a Software License Agreement?

A software license agreement is a legally binding agreement between two parties that sets the terms between the software creator and its customers on to use the software.

See also Perpetual License

What types of Software Licensing Agreements Are There?

There are two main types of software license agreements. The most common agreement is a proprietary license agreement, where the creator of the software retains full ownership of the software itself. There is also a free software license, or an open-source license agreement, which allows the end-users of the program to alter or modify the software themselves. 

See also Proprietary Software License

How Does a Software Licensing Agreement Work?

A software license grants the licensee, which could be a company or a customer, the permission to use the software in such a way that does not involve infringement of the software developer’s copyrights.

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