Why End-User License Agreements for Mobile Apps Are Needed

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A Message to Mobile App Operators

Any business or other entity that operates/offers a mobile application, or “app,” should ensure that there is an End-User License Agreement (“EULA”) in place that will govern the relationship between end-users and the subject mobile app operator in connection with that app, its various uses and associated product and service offerings.

End-User License Agreements are essential to, among other things, establish the ownership rights of the mobile app operator in and to the applicable mobile app technology and intellectual property, content and offerings featured by and through the mobile app. In addition, such agreements can be used to effectively limit the liability of the mobile app operator in connection with the app and its content/offerings, memorialize payment terms (if any) and set forth terms for dispute resolution that are more beneficial to the app operator.

Do I Really Need An Agreement with My App Users?

Protect Your Mobile App, and Yourself

Due to the fact that the End-User License Agreement (together with a Privacy Policy, which we highly recommend using) is often one of the only agreements entered into between the mobile app operator and the consuming public, it is essential that the End-User License Agreement address many of the legal issues, potential disputes and other contingencies that can arise in connection with the underlying app user/app operator relationship.

Ideally, the End-User License Agreement would address some or all of following (but note, the following is by no means an exhaustive list): (1) a description of the functionality of the mobile app and underlying services, products and offerings; (2) clear instructions for installing/uninstalling the mobile app; (3) any applicable payment terms and, relatedly, methods for canceling accounts; (4) clear terms regarding ownership of the mobile app, associated technology and intellectual property and the underlying content/offerings, as well as the underlying license granted to the end-user; (5) language pertaining to any export/usage restrictions associated with the app; (6) restrictions on end-user conduct by and through the mobile app; (7) mobile app-specific disclaimers, depending on the nature of the mobile app and the underlying content/offerings; and (8) depending on the extent to which it is covered in the Privacy Policy, information regarding geolocation tracking conducted by and through the app.

Every Mobile App Is Unique

The specific terms contained in the End-User License Agreement will inevitably vary depending on the functionality and features of the mobile app, the type of content/offerings featured by and through the mobile app and the underlying commercial relationship between the end-user and the applicable mobile app operator. It is highly recommended that you retain qualified legal counsel to ensure that any End-User License Agreement that you use in connection with your mobile app is narrowly tailored to your offerings, provides adequate levels of protection for your specific business activities and anticipates all applicable contingencies.

If you are interested in learning more about this topic or require the preparation of an End-User License Agreement for your mobile app, please e-mail us at info@kleinmoynihan.com, or call us at (212) 246-0900.

The material contained herein is provided for informational purposes only and is not legal advice, nor is it a substitute for obtaining legal advice from an attorney.  Each situation is unique, and you should not act or rely on any information contained herein without seeking the advice of an experienced attorney.

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