3 Key Questions To Ask About Your Oracle Contracts

key questions

  1. Have you ever considered how your Oracle contracts and the various other acquired entity contracts affect your Oracle licence usage, and compliance?
  2. Do you spend enough time negotiating and considering your contractual terms, and what value they add in the long term?
  3. Can licence ownership be affected by service level agreements and support renewal contracts?

You should ask be asking these key questions, because did you know that: 

  • Oracle’s contractual terms and conditions for a transaction are not all contained in one document?
  • Most of the cloud contracts terms are contained outside of the cloud order you sign?
  • Support and maintenance have their own contractual terms, even when purchased with Oracle licences?
  • Everything relevant to the compliance of your licence usage is not directly included in the contract?
  • Changes to your agreement can occur as part of your annual support renewal contract?

Oracle transacts with an ordering document that identifies the commercial aspects of a transaction, together with some transactional terms. However, the agreements, including the terms and conditions, and the documents relevant to the transaction, are often referenced via a link within one or multiple agreements. This is not so well known.

It is of the utmost importance to understanding what these agreements are, how they function, and how they affect your Oracle programme licence use. This is the case when you’re being audited by Oracle License Management Services (LMS) or by an Oracle partner, and especially when you’re confronted with one or more of the following scenarios:

  • Hardware upgrades/refreshes
  • Changes in company structure
  • Software version upgrades
  • New software purchase requirements
  • Contract negotiations
  • Changes to how software services are provided
  • Negotiating a ULA (Unlimited Licence Agreement) or PULA (Perpetual Unlimited Licence Agreement)
  • Addressing licence ownership of unsupported licence metrics
  • Reviewing existing support/maintenance cost
  • Considering a cloud strategy
  • Acquisitions, divestitures and mergers

You should consider: 

  1. Your contract terms with Oracle, if negotiated favourably, could far outweigh the benefits of a monetarily negotiated transaction.
  2. A detailed analysis and report across all of your contracts can provide you with a holistic view of your licence rights, and give you a roadmap that is clear and defined.

Get in touch with our totally independent Oracle licensing and contracting specialists, to help you start reviewing and identifying where you stand with Oracle.