End User License Agreement (EULA)

Definition

A contract between the licensor and purchaser, establishing the purchaser's right to use the software. It defines the terms and conditions under which the software can be used and outlines the rights and responsibilities of both parties.

Why it matters

A EULA protects the developer's intellectual property rights. It shields software providers from potential liabilities, detailing usage limits and obligations. By creating transparency in software use and rights, it builds trust between providers and users. Additionally, the EULA ensures that software use aligns with specific legal and regulatory standards, allowing for global distribution.