"Resale Rights License" - With Expiration Date?

[RevenueRabbi]

What do you think of the idea of a Resale Rights License that would Expire after a year?

legal? Genius? Would It Work?

If someone would make 100 hours of video and would sell resale rights, both sides would benefit from an "annual fee" type resale rights license.

Pros: Cheaper (since its not perpetual)

Cons: You would need to pay a renewal fee if you wanted to sell it another year. (of course, this would be offset by the fact that you wouldn't want to pay the resale rights license fee again unless you were making money.)

Thoughts?

[D Ambrose]

How would you manage the resellers?

Charge an annual subscription? I'm not sure how many people would do that.

[danielmcclure]

I'm guessing this could work if you created a kind of annual. The product is upgraded with the latest information each year and they receive new marketing tools and a new version of the product each year. Otherwise it would be very hard to police and I don't see people buying into the idea.

Again to make it work you would probably have to create client discounts. For example new resellers would have to pay $150 for a license where as current resellers pay only $50 for the upgraded version. It would definitely be an interesting model to test if you found a product where it worked.

[RevenueRabbi]

perhaps the resellers would need a new license every jan 1st- or something...

[digitalproductreporter]

this sounds more like renting, leasing, dropshipping, regular affiliate relationship stuff

if the "rights" can be taken away they never really transfer in the first place.

interesting Idea, but you'd probably need to call it renting content or something else

[Private Label Ebook Shop]

Originally Posted by danielmcclure

I'm guessing this could work if you created a kind of annual. The product is upgraded with the latest information each year and they receive new marketing tools and a new version of the product each year.

In my experience, and what seems to be common practice, is if you purchase resale rights to a product then all future updates are free.

Being directly involved in the resale rights niche I would not touch a product whereas the rights would expire after a certain period of time. Just my 2 cents worth.

[Chris Lockwood]

I've seen a couple where the license says the agreement is in effect for a year, but it doesn't say what happens after that- do you lose the rights or get unrestricted rights, or what?

That part wasn't mentioned in the sales letter, and there was no mention of rights expiring or any way to renew them, so in that case it seems to this non-lawyer that the clause as worded is not valid.

[Sumit Menon]

Brett Ingram has a license of this kind! Don't know how that works out!

[Loren Woirhaye]

JVM2/Fantasos has a feature where you can create
reseller accounts. You as the original seller would
control delivery and the reseller would be able to set
his own prices and so forth. It wouldn't be hard to
put a set fee for one year on it.

If you don't control the delivery it would be ridiiculous
to try to enforce an expiring license.

[Martha Richardson]

How about a license that expires when you didn't expect it to? I once paid a fairly hefty amount to a fellow Warrior for resell rights to a product. After about a year, it stopped working correctly due to changes in the search engines, and he stopped selling it. Since it didn't work right and my sales had to go through him, I had to pull it also. He offered nothing as an alternative, telling me I had gotten to sell it for a year. Well, I fee bad for the people I DID sell it to, because I never meant to sell them a product that would expire, and I will never buy anything from that Warrior again.

Barry

[Thomas Belknap]

Why wouldn't it be legal. It is a license which is a agreement that can be help up in a court of law.


If we are dealing with software there can be steps put in place to inactivate the software they are reselling.

Or you can stop supporting any of the resellers customers if they break the license.


Or you can not update the resellers customers if they break the license.


There are things you can do.

[freudianslip27]

This is an interesting idea, though I would think that in most cases, people wouldn't like it. People like the idea of "owning something", and claiming it their own. Kind of like renting an apartment versus buying a house. The whole renting thing just feels less like ownership to me, which is what plr is all about.

Matt

[Thomas Belknap]

Originally Posted by freudianslip27

This is an interesting idea, though I would think that in most cases, people wouldn't like it. People like the idea of "owning something", and claiming it their own. Kind of like renting an apartment versus buying a house. The whole renting thing just feels less like ownership to me, which is what plr is all about.

Matt

Matt, they never own the original product anyway. They only own a license.

When you purchase software, you don't own it but own a license to use it.