Is there a cap on the liability of the licensee in this template?
There are two different draft liability caps included in the domain name licence.
The first of these limits liability in relation to a particular event. The cap is set at the level of the greater of a specified amount on the one hand, and the total amount paid by the licensee to the licensor under the agreement during a defined period (e.g. 12 months) on the other.
The second cap limits aggregate liability under the agreement. This cap is set at the level of the greater of a specified amount on the one hand, and the total amount paid under the agreement on the other.
Each of the caps my be drafted to protect the licensor, or the licensee, or both.
Where one party indemnifies the other, you should specify in the licence agreement whether the indemnity is subject to the cap or outside the cap. A clause is included in the limitations of liability section to help you do this.
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