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Client FAQ: Software Development Contract

This FAQ provides a clear, client-focused overview of the key implications of the Contract for Development on Software Projects.

Ownership & IP

Who owns the code?

Ownership depends on Section 8. With Copyright Transfer, ownership passes to you only after full payment for the task.

Can I use code before payment?

No. Using or redistributing unpaid or unaccepted work is a copyright violation (Section 8.4.1).

Pre-existing tools?

The Developer keeps ownership of Background Technology but grants you a perpetual, royalty-free license (Section 9.2).

Quality & Warranty

What if there are bugs?

You receive a 90-day warranty. Defects must be fixed at no cost or refunded (Section 6.14).

Review period?

You have 90 days. After that, work is deemed accepted automatically (Section 6.12).

My responsibility?

You must test the software in your own environment and production system (Section 6.10).

Deadlines & Priority

Strict deadlines?

Only with the Expert Package. Missed deadlines allow a 20% fee reduction (Section 13.3).

Who sets priorities?

Priorities are proposed by the Developer but must be mutually agreed upon (Section 6.4).

More working hours?

Depends on your package. Expert includes ≥8 hours/week with no maximum (Section 13).

Payments & Legal

Payment timing?

Prepaid and subscriptions require upfront payment. Postpaid is only available after €500 prior payments (Section 14).

Late payment?

Late payments incur interest at 9% above the ECB base rate after 5 days (Section 14).

Termination & disputes?

Either party may terminate at any time. Swiss law applies, with binding arbitration in Zurich (Sections 4 & 15).

General

Can I modify the contract?

Yes, of course. We can adapt the contract or create an addendum to it, so that both you and me are fully satisfied.

Can I pause temporarily?

Yes. You can change the minimum guaranteed hours at any time, even down to 0 hours, by contacting the Developer (Section 13 Intro).

Do I own the next updates?

After payment yes. This is a critical distinction in Section 8.4.1 (Clarification for Cumulative Workflows). Even if you own the "base" software, you do not own any subsequent modifications or extensions until those specific changes are paid for and accepted. You cannot use the new updates until payment is cleared, even though they sit on top of code you already own.