Recent Answers to SaaS Law Questions

Jennifer B.

Answered May 6, 2025

Your software subscription agreement has a termination clause outlining the notice period and potential penalties for early termination. It is possible, but unlikely, that you can simply cancel. From a practical perspective, once you know the terms, contact the company and ask if you can cancel without penalty. Even if they say no, some software companies will allow you to drop down to a less expensive plan without penalty. Reading your agreement is your best first step. Some companies will work with you. Some will auto-renew you without notice. Once you know the terms, calendar them for this product and others to track your renewals.

Dolan W.

Answered Oct 1, 2024

Hello! There are four main things I look for in creating the agreement: 1. The agreement should state the reseller's rights to market, sell, and distribute the software, including any limitations like geographic restrictions or specific customer segments they cannot target. It must also detail the licensing model for end customers, outlining subscription terms, usage rights, and any limitations on the number of users or features. 2. It should also contain a very comprehensive pricing structure for the reseller, including details on wholesale discounts, volume-based pricing, or tiered pricing models. Payment terms, including schedules, accepted methods, and any penalties for late payments, must be clearly defined. If a revenue-sharing or commission model is in place, the agreement should outline how revenue will be divided between the provider and reseller, specifying commission percentages or revenue splits. 3. Also, the agreement should clearly outline the responsibilities of both the reseller and the provider. This includes detailing the reseller's duties in sales and marketing, customer support, and technical assistance. 4. Finally, CLEAR ownership of customer data collected through the software is super important, including usage data and personal information. Happy trails!