|This Contract provides the contractual basis upon which two or more software authors may collaborate in developing software. The benefits of a joint development, such as sharing of costs, widening of markets and the pooling of resources must be weighed up against the fear of competition, poaching of personnel, customers and inventions, in addition to the problems of copyright ownership and unequal development contributions of each party.
This Contract provides clear and unambiguous provisions governing the contributions of each party physically, intellectually, commercially and financially, and the benefits each will receive. In this particular Contract, one party provides the source software to be further developed for a different market.
The Contract also allows for the situation in which the parties are developing software for general exploitation rather than for a particular customer by agreeing to enter into a distribution agreement at the same time as the development agreement so that the royalties each is to receive, the terms of marketing, support and enhancement and the contribution to each of these activities required by the parties, is agreed in advance.