Mobile App Development Contract

The next time you glance at your smartphone, remember that the device in your hand is more powerful than the computers that first took mankind to moon. Most mobile phones today are small sized computers that have steadily evolved to keep in pace with the demands of time. Mobile phones have today replaced many an essential device including alarm clock, watch, camera, stopwatch, radio, personal diary, letter-pad, map, newspaper, gaming console and even television.

What is that which makes it possible for one pocket sized radio device to be your digital companion? The answer lies in its apps. It is the mobile apps of various nature that transform your world and keeps you glued to the little screen. The term App has been liberally interpreted to include a mobile software of any nature. A mobile game is as much an app as a pocket dictionary. So is a fitness app which counts calories burned in a gym or an emailing app for that matter. Apps are everywhere; there are millions of Apps available exclusively for mobile phones. More and more are getting added to the lot every day.

Apps have a plenty of commercial benefits even if it is a free to download one; Once it is downloaded by thousands and millions, the same translates into moolah for the owner. There have been instances of amateur programmers getting rich because of their successful apps. This makes it all the more important to make the rights and duties associated with the app explicit.

A mobile app development contract is one such agreement. It is executed between a mobile developer and a company which purchases all such rights connected with the app while also specifying the duties relating to it.

Points To Include In A Mobile App Development Contract

Background

The circumstances that led to the creation of the contract, including the requirement and the approaching of one party for the purpose of development with the other party.

Independent Contractor

The actual relationship between the developer and the company- which is purely contractual.

Scope of Services

This may be either mentioned early or separately in an annexure. It specifies the roles of the developer.

Term

The time limit for fulfilling the services mentioned shall be decided in the contract. The total work may be split into separate cycles with definite time limits.

Warranties by the Developer

The document should mention all the things undertaken by the developer, which may include meeting of necessary experience, legality, original content, lack of violations of copyrights, etc.

Intellectual Property

As an author, the developer is originally the holder of intellectual property rights including copyrights and trademarks, if applicable. By way of the said contract, the rights will be transferred to the company.

Indemnification

It applies in cases where there is explicit violation of any third party rights. In such cases, the developer is liable to indemnify the company any losses that may have arised due to such violations.

Payment Details

Details like mode of payment, break up of total payment and related factors may be specified here.

Confidentiality

Mobile apps are usually developed in the premises of the company. During development, the developer has access to many confidential information related to the company. Thus, it becomes essential to include a clause of confidentiality which penalises the developer for divulging any such information to outsiders.

Termination

Anything that begins ends sooner or later. It is necessary to mention the ways in which the termination of such contract may be effected.

Penalty

Any penalty for not keeping up the terms of the contract should be mentioned.

Dispute Jurisdiction

The contract shall mention which courts shall decide in the event of any dispute between the parties.

Apart from the clauses mentioned above, the document also needs to include numerous other details to ensure that the interests of both the parties are safeguarded. The Mobile App Development Contract needs to be well detailed in order to avoid any ambiguities in future.

If you are a company, particularly a startup, it is recommended that you build a solid foundation by ensuring that all your dealings are well documented in order to avoid legal intricacies in future. All agreements with clients and vendors should be drafted with utmost care since any shortcomings can lead to loss of valuable time and money in future. Legaldesk’s startup package has a set of all essential agreements and documents required for a startup. It is a one stop solution for all your legal needs. We also offer ready to use templates of legal documents, business agreements and deeds, besides the basic legal support that you will need to start a new company.

Creating a mobile application is a great way to increase your reach and to enhance your revenues. So, why not go ahead and get that foolproof document in order to engage the developer. Your App could be the game changer for your business.