Oracle Contracts – Your licensing agreement

Oracle Contracts

This article will provide a brief overview of Oracle contracts that deals with on-premise licensing. These contracts do not relate to the cloud unless you use your on-premise licensing for BYOL to a public cloud.

Oracle software licensing agreements can be complex, and it is important for businesses to fully understand their rights and responsibilities when using Oracle products. In this article, we will provide an overview of different Oracle licensing agreements, including the Oracle Ordering Document and Oracle OMA (Oracle Master Agreement).

The Oracle Ordering Document (OD). This document outlines the terms and conditions for purchasing Oracle software, including the type and quantity of software licenses being purchased, the length of the agreement, and any maintenance or support services that are included. 

The OOD also specifies any additional terms and conditions that apply, such as payment terms, technical support options, and any restrictions on the use of the software.

Oracle Contract terms to pay attention to

  • Customer definition – which legal entities may use and access the Oracle software.
  • Territory clause – Where can you physically deploy the Oracle software that you are acquiring?
  • Technical support – By how many % can Oracle increase its annual support?
  • Upgrade rights – do you have the right to freely upgrade to a new product if the product you are purchasing is replaced?
  • Restricted use – Oracle often puts restrictions on usage; read your contract carefully.

Oracle OMA

An Oracle Master Agreement (OMA) is a legally binding contract between Oracle and a business that outlines the terms and conditions for the use of Oracle software. The OMA is typically a long-term agreement that covers multiple Oracle products and may include other services, such as maintenance and support.

The OMA establishes the overall framework for the relationship between Oracle and the business, including the terms of payment, the length of the agreement, and any restrictions on the use of Oracle software. It also includes provisions for issues such as intellectual property, confidentiality, and liability.

The Oracle OMA should be reviewed by your organization’s legal representative; however, from a licensing perspective, this is where you can find the audit clause. 

Negotiate it carefully and include a time of notification

  • How many days do you need?  
  • Do you need to run Oracle license audit scripts?
  • How many days will you have to settle any non-compliance findings?