0

i have a question regarding software development contracts.

Take for instance two company, A and B whose primary business mainly involves the reconfiguring and resale of microcomputer system.

Company A and company B had a signed letter agreement which tasked company B to build a video editing system for company A. After the completion of the system, company B will have the rights to own one half interest in the software.

In such a situation, is it a normal contract or is it a software development contract.

  • Do "software development contracts" have some special legal significance in this jurisdiction? And what jurisdiction is it, anyway? – cpast Feb 14 '16 at 5:16
  • In what way is a "software development contract" different from a normal contract that happens to be about software development? – Dale M Feb 14 '16 at 8:24
1

Dale M is right. A SW Development Contract is just about the same thing as any other Development Contract - difference is that it's about SW development.So if Development Agreement is a "normal contract" a SW Development Agreement is also.

However, a Letter Agreement might not be considered as normal contract (or as binding as a "normal contract")- depends on its terms. It's normally used also as a "pre-agreement" where the Parties define the commonly agreed grounds of the business relationship. In your particular case, the Letter Agreement defines that the Software will be jointly owned by both A an B in equal shares - this is then the common overall understanding of the Parties, but more specific provisions would be in the Parties' benefit, e.g. does B also has licensing rights? will B be entitled to any compensation for each SW license granted by A as a result of its own (A) commercial efforts?

| improve this answer | |

Your Answer

By clicking “Post Your Answer”, you agree to our terms of service, privacy policy and cookie policy

Not the answer you're looking for? Browse other questions tagged or ask your own question.