This clause allows you to rebrand the vendor's software as your own—removing their logo, adding your logo, and selling it to your customers under your name. This matters legally because it raises questions about liability, support, and intellectual property ownership. If you white-label software and your customer has a problem, who's responsible—you or the original vendor? Under contract law, white-label agreements must clearly state who handles customer support, who's liable for defects, and whether you can modify the software. The low risk here is mainly about clarity, but getting it wrong can create serious problems. For example, if a customer sues over a software defect, you need to know whether you or the vendor is the defendant.
Confirm that the vendor will provide backend support (fixing bugs, handling security issues) even though your customers see your brand. Get written permission for exactly what rebranding you can do—can you modify the interface, or only change logos? Ensure the contract says the vendor remains liable for defects in their underlying software, even if your customers think you built it.
Frequently Asked Questions
What does this clause mean in simple terms?
This clause allows you to rebrand the vendor's software as your own—removing their logo, adding your logo, and selling it to your customers under your name.
Why should I care about this clause?
This matters legally because it raises questions about liability, support, and intellectual property ownership.
What are my options?
If you white-label software and your customer has a problem, who's responsible—you or the original vendor?
How does this affect small businesses?
Under contract law, white-label agreements must clearly state who handles customer support, who's liable for defects, and whether you can modify the software.