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What do I need to know if I start a new software app?

If you are starting a new software app and doing business with people for the first time, you should consider getting some online legal advice to ensure that you and your new software app are both well protected.

This article looks briefly at the most common legal documents required when starting a new app.  It discusses five essential legal documents you may need, including a (i) Licence Agreement, (ii) Non-Disclosure Agreement, (iii) User Terms and Conditions, (iv) Privacy Policy and (v) Distribution Agreement.

Licence Agreement

You don’t want to give away your intellectual property, but you want your users to be able to use your new app – so what kind of legal agreement do you need?

One way to allow users to use your app without granting ownership is by way of a License Agreement. Through a License Agreement, legal title of the intellectual property does not pass – it just gives one party the right to use it for a specific purpose.

A well-drafted License Agreement will clearly set out when the license will expire, what fees are payable to use the license, and whether or not the license is transferable.

Non-Disclosure Agreement

A Non-Disclosure Agreement is also known as a Confidentiality Agreement and is designed to stop your trade secrets being shared.

If you are not the developer of the app, or if you have other service providers assisting you in the development of the app, you may want to sign a Non-Disclosure Agreement with them so that they understand that all information relating to the creation of the app is confidential and you are entitled to take action against them if confidential information is disclosed.

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User Terms and Conditions

User Terms and Conditions are very important. As you may never meet the users of your app, the User Terms and Conditions form the legally binding relationship between you and your users.

A well-drafted set of User Terms and Conditions will help you enforce your rights to be paid by your users (if you are charging a fee for your app) and also assist in protecting the intellectual property of your app.

Privacy Policy

Australia’s privacy laws are becoming increasingly complex for business.  A good way to ensure that you comply is to have a Privacy Policy for users to view when using your new app.  A well-drafted Privacy Policy will ensure you are being compliant with the law and show users your commitment to protecting their personal information.

Distribution schedule

If somebody is marketing or distributing your product, you may want to consider having a Distribution Agreement drafted. This will set out the terms and conditions for distributing and reselling your product, and will cover many of the practicality issues which may arise as well.

Conclusion

Depending on what you are planning to do with your new software app, there are a number of legal documents you should consider getting professionally drafted to protect yourself to the fullest extent of Australian law.

Why not contact one of the online lawyers at LegalVision today to get you started?

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Priscilla Ng

Priscilla Ng

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