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Software license

A software license is a legal instrument governing the use or redistribution of software.

Since the 1970s, software copyright has been recognized in the United States. Despite the copyright being recognized, most companies prefer to sell licenses rather than copies of the software because it enables them to enforce stricter terms on redistribution. Very few purchasers read any part of the license, initially shrink-wrap contracts and now most commonly encountered as clickwrap or browsewrap. The enforceability of this kind of license is a matter of controversy and is limited in some jurisdictions. Service-level agreements are another type of software license where the vendor agrees to provide a level of service to the purchaser, often backed by financial penalties.


Copyleft is a type of free license that mandates derivative works to be licensed. The other types of free license lack this requirement: for permissive licenses, attribution is typically the only requirement, and public-domain-equivalent licenses have no restrictions. The proliferation of open-source licenses has compounded license compatibility issues, but all share some features: allowing redistribution and derivative works under the same license, unrestricted access to the source code, and nondiscrimination between different uses—in particular, allowing commercial use.

Free redistribution: Anyone can redistribute the software, for free or for cost, without the permission of or payment to the copyright holder.

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Unrestricted, public access to the [44]—what the term open source refers to[45]

source code

Users may modify the software and release , either under the same terms as the free software or, in some cases, under a different license.[44]

derivative works

Nondiscrimination between different uses, including commercial use.[8][4]

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Comparison of free and open-source software licenses

Digital rights management

Copy protection

Dual-licensing

License-free software

License manager

Product activation

Product key

Rights Expression Language

Software metering

Terms of service

Perpetual access

Copyright licenses (category)

Software by license (category)

Classen, H. Ward (2022). The Practical Guide to Software Licensing and Cloud Computing. American Bar Association.  978-1-64105-750-9.

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