General Terms and Conditions for Software Leasing

Version July 1, 2021

1         Scope of application, scope of license and term

1.1        These General Terms and Conditions for Software Leasing (hereinafter “Framework Contract”) are valid for all individual contracts between i-ROM GmbH, Neukirchen (“i-ROM” for short) and all License Holders referenced in those contracts.

1.2        The individual contracts enter into force when the License Holder issues a written order in response to a written offer by i-ROM and a License Agreement is signed by both parties. Scanned signatures are permissible. An email exchange is likewise permissible. The License Holder’s General Terms and Conditions do not constitute an element of the contract.

1.3        i-ROM assigns to the License Holder the software as described in the License Agreement and in its present state of development and grants the License Holder, depending on the specifications in the License Agreement – generally for 12 months – a non-exclusive, non-transferable right of use in accordance with the conditions of this Framework Contract.

1.4        Granting of the full contractual right of use shall be subject to the condition precedent of full payment of the fee. Until full payment is received, right of use shall be temporarily limited to a period of 30 days from delivery of the software.

1.5        At the discretion of i-ROM, the software and User Manual are either made available on a server or sent via email.

1.6        The software is usable only when installed with an special installation program. At i-ROM’s discretion, the installation program is either made available on a server or sent via email.

1.7        The License Holder receives the software in binary format (MATLAB PCODE). The License Holder shall have no right to transfer the source code. The use of the software is legally and technically restricted to the computer named by the License Holder during installation.

1.8        Should the License Holder wish to use the software on a computer other than the one specified during installation, the installation is free of charge, provided the reasons for the changing the computer are plausible for i-ROM.

1.9        The software is considered to be delivered as soon as the License Holder has received everything necessary to be able to access the software. The software is installed at the License Holder’s own risk and expense. The License Holder must ensure that the computers are configured appropriately.

1.10        If the License Agreement states this is a Teaching License, the software may be used only for teaching. Commercial use or research, wether publicly or commercially funded, are not permitted.

1.11        If the License Agreement states this is a Academic Research License, the software may be used for both teaching and puplic funded research, provided the results of the academic research are publicly available. At i-ROM's request, the License Holder must submit a written report regarding the use of the software during the leasing period. This license type does not allow commercially funded research or commercial use.

1.12        Where reference is made in the License Agreement to the licensing terms of other manufacturers, further specifications to the content and scope of the License Holder’s right of use may arise from them. In this case, these licensing terms also determine the legal relationship between the License Holder and the manufacturers.

1.13        Within the testing period, the provisions of this Framework Contract shall apply accordingly, especially Points 1.5–1.7, Point 2 and Point 6.7.

2         Duties and obligations of the License Holder

2.1        The License Holder may not lease or loan the software nor transfer it to third parties.

2.2        Use of the software requires the License Holder to provide internal computer information for each computer. License management requires the capacity to establish a regular connection between the License Holder’s computer and the i-ROM server. In doing so, solely license-relevant information will be transferred.

2.3        The License Holder must comply with import obligations of those countries where the software is used as well as export provisions of the Federal Republic of Germany and third countries (such as the US).

2.4        The License Holder is obliged to perform data backups on a regular basis and in accordance with the level of risk.

2.5        The License Holder must observe i-ROM’s copyright and intellectual property rights with respect to the software. Any copying of portions of the software or the software as a whole, other than for the contractually allowed use, is prohibited. Decompilation of the software is likewise prohibited.

3         Support and maintenance

3.1        Support and maintenance are included in the software lease for the duration of the License Agreement.

3.1.1       Support includes the elucidation and remediation of operational errors via brief consultation via telephone during normal business hours (service hotline). Support is only provided for the current and preceding versions at a given time.

3.1.2       Maintenance consists of supply of updated versions of the software (improved and enhanced versions) issued by i-ROM after their release. Updated versions may require updating of the operating system or interface programs.

3.2        The obligation to provide support and maintenance ceases if the License Holder modifies the software without authorisation.

4         Terms of payment

4.1        The leasing fee for the entire lease period is to be paid in advance to i-ROM in accordance with the License Agreement within 30 days following delivery of the software. The agreed value of the lease applies exclusively to the agreed contractual term.

4.2        Should the License Agreement be extended, payment is due at the beginning of the new term.

4.3        All prices and costs are stated exclusive of statutory value-added tax. Discount deductions are excluded.

4.4        The License Holder shall be responsible for all customs duties, taxes and all other charges connected with the software transfer.

4.5        Should payment of the lease fee not be received in a timely fashion, i-ROM is entitled to terminate the License Agreement without notice. Termination by i-ROM without notice can occur via email and will be implemented by deactivating the installation program provided to the License Holder.

5         Warranty, third-party property rights

5.1        If the software is materially defective, i-ROM is required, at its discretion, either to resolve the defect or to replace the product with defect-free software within a reasonable period after the License Holder has brought the defect to its attention. Should the repair prove unsuccessful, the License Holder is legally entitled to assert a legal claim (rescission of the License Agreement and pro-rata reimbursement of the lease price). If i-ROM itself is not in possession of the source code, it can only repair defects to the extent that it receives a corresponding bug-fixing update from the manufacturer. If the License Holder sustains damages as a result of the defective software, the limitations of liability pursuant to Items 6.1–6.7 of this Framework Contract shall apply.

5.2        Claims due to material defects shall be excluded if a software environment other than that designated in the License Agreement (operating system, MATLAB, ANSYS) is used.

5.3        No guarantee is provided for the accuracy and/or applicability of the results achieved through use of the software. The software descriptions in the user documentation are provided without guarantee.

5.4        Should a third party be entitled to claims against the License Holder due to violation of property rights based on the software provided by i-ROM and the License Holder’s contractual use of the software become thereby affected or impossible, i-ROM shall, at its discretion and cost, either supply software that has been modified or replaced so as not to violate the third party’s property rights, and without thereby limiting the functionality of the software, or else indemnify the License Holder against payment of the third party’s licensing fee for use of the software. The License Holder must promptly inform i-ROM in writing regarding alleged infringements of third-party property rights. Furthermore, the License Holder must not acknowledge the alleged infringement and may only engage in discussions with the third party regarding the infringement of property rights in consultation with i-ROM. Claims by the License Holder arising from an infringement of property rights are excluded to the extent that the infringement is based on the License Holder’s having modified the software or used it in conjunction with the software of another manufacturer. The same shall apply to the extent that the infringement is based on an improper use of the software, especially if the use is inconsistent with the contractual user configuration. Further claims on the part of the License Holder due to an infringement of third-party property rights are excluded unless a liability is provided for in the present Framework Contract (Items 6.1–6.7 of this Framework Contract).

5.5        Extraordinary termination due to failure to guarantee use (Section 543, Para. 2, No. 1 of the German Civil Code [BGB]) due to defective software is excluded for software leasing as long as the attempt by i-ROM to repair the defect is considered not to have failed.

6         Limitation of liability

6.1        Regardless of the legal basis, i-ROM shall only be liable for damages if these are caused by intent or gross negligence, or by deliberate or negligent violation of essential contractual obligations. In the sense of the above, contractual obligations are deemed essential where their fulfilment is an indispensable condition for the proper implementation of the License Agreement and on compliance with which the License Holder may regularly rely.

6.2        In the case of ordinary negligence, i-ROM’s liability is limited to foreseeable damage typical of the contract.

6.3        i-ROM shall only be liable for the consequences of defects in the event of intent or gross negligence; the License Holder’s legal claims to compensation for damages arising from a delay in resolving the defect shall remain unaffected.

6.4        The above limitations and exclusions of liability shall not apply to damages arising from culpable injury to life, limb or health attributable to i-ROM or to liability under the Product Liability Law.

6.5        The parties to the contract agree that computer-aided calculations (CAE) must be constantly checked by means of suitable methods since the results achieved can be erroneous due to inaccurate or imprecise entries or hidden software defects.

6.6        Proper use of the software requires specific introductory training or existing knowledge on the part of the user.

6.7        Within the testing period, liability for any sort of damages is excluded.

7         Extensions of the contract

Extension of the term for leasing of the software requires a written agreement. It occurs upon the signing of a new License Agreement and requires a written order from the License Holder based on a prior offer from i-ROM, cf. Point 1.2.

8         Other provisions

8.1        The License Holder’s rights arising from this Framework Contract and the individual contracts cannot be assigned to third parties. The License Holder can only offset payment claims from i-ROM with claims from the respective individual contract or with undisputed or legally established claims. The License Holder is only entitled to a right of retention due to claims arising from the respective individual contract.

8.2        German law shall apply to the exclusion of the UN Sales Convention. If the License Holder is a merchant, a legal entity under public law or special fund under public law, or if the License Holder has no general place of jurisdiction in Germany, the competent court for Chemnitz is agreed as the exclusive place of jurisdiction for all legal disputes arising from and in connection with this Framework Contract, unless another jurisdiction is mandatory by law.

8.3        Supplements or amendments to this contract or the License Agreement must be in writing. This shall also apply to any waiver of the written form requirement.

8.4        Should any provision of this Framework Contract be or become ineffective, the legal effectiveness of the remaining provisions shall remain unaffected thereby. In the place of the ineffective provision, an effective provision that most closely approximates to the wishes of the parties shall be deemed to have been agreed.

8.5        In case of any difference in the interpretation of the texts of this contract in German and English, the German version shall prevail.

9         Notice concerning data protection, confidentiality

9.1        i-ROM will handle all information provided by the License Holder with the same care it gives to its own confidential documents.

9.2        To the extent that i-ROM engages a sales partner in the implementation of the contract and the License Holder provides this sales partner with information and data, the provisions of this Frame Contract shall also apply accordingly to the sales partner.