Five clauses to check before you license your company’s records
A data license is a contract like any other. These are the terms that matter most, and the questions to put to your lawyer before you sign.
By the Buzz Data Desk team
Once a buyer makes a written offer, the details of the contract decide how comfortable the deal will be. This is not legal advice, and every owner should have their own lawyer review the terms. But these five clauses are where most of the important decisions sit.
Scope
The contract should list exactly which systems, mailboxes, channels and date ranges are included, and what is excluded. Vague scope language is the most common source of later disagreement. If something is not in the list, it should not be transferred.
De-identification method
Ask the buyer to describe, in writing, how names, contact details and other identifying information are removed, and confirm that this happens before records leave your systems. Your lawyer can judge whether the method is adequate for the data and the jurisdictions involved.
Permitted use
A good license states what the buyer may do with the records, such as training and evaluating AI systems, and what they may not do, such as reselling the raw records or using them to identify individuals or compete with you.
If a term matters to you, it belongs in the contract, not in a conversation.
Retention and deletion
How long can the buyer keep the records, and what happens at the end of the term or if the agreement is terminated? Look for clear deletion obligations and a way to confirm they have been met.
Payment terms
Check the amount, the schedule, what triggers each payment and what happens if delivery is delayed. Payment should go directly from the buyer to your company. Buzz Data Desk is paid separately by the buyer and takes nothing from your payout.
Before you sign
Nothing moves until you sign, and you can walk away at any point before then. Take the time to get these five clauses right.
This article is general information, not legal, tax or financial advice.
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