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End-User License Agreement (EULA)

An EULA specifies the terms under which end users may access and use software products. This playbook guides counsel through critical clauses on license scope, restrictions, warranties, and limitations of liability.

Scope and Exclusivity

Why This Matters: Overbroad or unintended exclusivity can limit revenue opportunities or competitive positioning, increasing commercial risk.

Negotiation strategy

If you're the Licensor:

Ensure the geographic scope and field of use are clearly defined to protect your rights. Retain flexibility to grant additional licenses outside the defined scope.

If you're the Licensee:

Negotiate for exclusivity in key markets to secure competitive advantage. Ensure the terms align with your business objectives and allow for potential expansion.

Essential elements

1

Geographic Scope

Defines territory for use.
2

Field of Use

Specifies authorized application area.
3

Exclusivity

Grants exclusive rights within scope.

Action framework

ACCEPT

Propose edits if the scope is too broad or restrictive, ensuring alignment with strategic goals.

EDIT

Reject clauses that overly limit future licensing opportunities or are misaligned with business objectives.

ADD

Add clauses to define scope and exclusivity if missing, ensuring they support business strategy.

PRO TIP

Always ensure that exclusivity terms are balanced to protect both parties' interests while allowing for future growth.

Real-world examples

FAVORABLE

Balanced Geographic Scope

"The Licensee is granted rights to use the licensed technology within the territory of [specified geographic area]. The Licensee shall not exploit the licensed technology outside the defined territory without prior written consent from the Licensor."
NEUTRAL

Standard Exclusivity Clause

"The Licensee shall have exclusive rights to the licensed technology within the specified territory and field of use. The Licensor retains the right to grant additional licenses outside the defined territory and field, provided such licenses do not infringe upon the Licensee's exclusive rights."
UNFAVORABLE

Overly Restrictive Exclusivity

"The Licensee shall have exclusive rights to the licensed technology in all territories and fields, with no exceptions."

Alternative scenarios & positions

High-Growth Markets

In high-growth markets, ensure the geographic scope allows for rapid expansion and does not limit potential market entry.

Niche Applications

For niche applications, define the field of use narrowly to prevent unauthorized exploitation while allowing for specialized development.

Global Licensing

In global licensing deals, balance exclusivity with the need to grant additional rights in emerging markets to maximize revenue potential.

Access all other DocJuris Playbooks

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Unlike complex CLMs with long implementations and steep learning curves, DocJuris is built for speed and simplicity. We integrate with your workflow—whether connecting to a CLM or uploading agreements manually—so you're up and running in days, not months.
WEEK 1
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Our CX team works with you to understand your contracting challenges, prioritize key workflows, and identify the biggest impact areas. We build a tailored implementation plan that fits your needs.
WEEK 2
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WEEK 3
Deliver & Test
Your team builds initial playbooks, reviews existing clause libraries, and trains the DocJuris agent to align with your internal standards and negotiation positions.
WEEK 4
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