LICENSE

            Open Compensation Token License
               Version 0.20, August 2024
         Copyright Tim Frey, Christian Schmitt

TERMS AND CONDITIONS FOR USING NON FUNGIBLE TOKENS AND SMART CONTRACTS
TO LICENSE SOFTWARE

IMPORTANT: THIS IS AN OPEN BETA LICENSE AND ASSOCIATED SMART CONTRACTS
AND WILL BE INCREMNETALLY IMPROVED USE AT YOUR OWN RISK

Everyone is permitted to copy and distribute verbatim copies of this
license document, but changing it is not allowed.

Preamble

This License is in active development. Therefore, anyone using the
current version should check for updates regularly. Later versions of
this license and associated software will supersede the current version.

This License and associated software artifacts come without any
warrenties, guarantees and it is to be assured that like in any software
project, one can assume there are bugs and failures.

Goal of the Open Compensation Token License is to enable creators (for
instance of software) to open source and tie their Work to non fugible
tokens to earn fair royalty for their work in a non fungible token based
economy. This possibility shall advance and help distributed ledger
technology to become mainstream and motivate creatives to publish their
work in an open source and collaborative way.

In a nutshell the Open Compensation Token License and associated smart
contracts leverage native fits between usage permissions or rights and
the associated creations in a complete non-fungile token way, from
defining “license terms and conditions”, “usage licences” and the
creations itself.

1. Definitions

The Open Compensation Token License is this document and associated
software realizations. Concrete, not limiting, definitions of terms and
given in the following:

1.1. General Terms

Open Compensation Token License (short OCTL) shall mean the terms and
conditions for use, reproduction, and distribution as defined by
Sections 1 through 9 of this document. The actual version of the Open
Compensation Token License (short OCTL) shall be found in text in
https://github.com/open-compensation-token-license/license.

OCTL smart contracts shall mean the software artifacts provided as
realization of the OCTL and their manifestation in one or more different
blockchains. Deployed and valid or updated instances references of those
smart contracts (contract addresses) and their way of operation and
documentation to interact with those shall be found in:
https://github.com/open-compensation-token-license/octl. The final
execution of those smart contracts and interaction of Legal Actors shall
happen in a decentralized network and not be controlled by a singular
entity. Hence, when OCTL smart contracts are mentioned in this document
it shall always mean their source code resulting in their final object
code, their storage and their associated resulting way of operation and
execution in a distributed and decentralized way. Distributed ledger
addresses where active OCTL smart contracts can be used to on a
blockchain are documented in ONCHAINCONTRACTS.md.

OCTL Root Project shall mean the Digital Artifacts of the OCTL, the Open
Compensation Token License itself and OCTL smart contracts and
documentation. Optimally one can also recognize most of the OCTL Digital
Artifacts additionally by the tag
“octl-sid:7dec4673-5559-4895-9714-1cdd61a58b57” in files.

OCTL Application shall mean an actors usage of the OCTL associated OCTL
smart contracts to issue, distribute, sell or define Application
Licenses.

OCTL Application License shall mean the License, permission and grant to
apply the OCTL to a Project or a Digital Artifact.

Application License shall mean any kind of copyright or patent grant to
use, reproduce, apply a Digital Artifact in Source or Object form which
made available under the terms and conditions of the OCTL.

Token or also baned crypto tokens are artifacts created by means of
distributed ledger technology (DLT).

1.2. Actors

Legal Entity shall mean the union of the acting entity and all other
entities that control, are controlled by, or are under common control
with that entity. For the purposes of this definition, “control” means
(i) the power, direct or indirect, to cause the direction or management
of such entity, whether by contract or otherwise, or (ii) ownership of
fifty percent (50%) or more of the outstanding shares, or (iii)
beneficial ownership of such entity.

Legal Actor shall mean any natural person, Legal Entity or any form of
association representing the will of natural persons or Legal Entities.

Rights Owner shall mean any Legal Actor owing the the copyrights,
patents or similar rights, permissions grants to issue copyright, patent
grants or similar of Digital Artifacts, Work, Source, Object, Derivative
Works, Contribution or similar to others.

OCTL Maintainers shall mean the group of Rights Owners of the OCTL
itself.

OCTL Applicant shall mean any kind of Legal Actor, applying the OCTL to
one or more Projects or Digital Artifacts.

Project Contributor shall mean any Legal Actor on behalf of whom a
Contribution has been received by Licensor that was accepted
incorporated within the Work.

Project Owners shall mean any Legal Actors, owing the rights and
permissions of a Project.

Licensor shall mean the Rights Owner or Legal Actor authorized by the
Rights Owner that is granting an Application License according to the
terms and conditions of the OCTL, such as for instance Project Owners.

Licensee shall mean any Legal Actor who got granted a License by a
Licensor, according to the terms of the OCTL.

1.3. Artifacts

Digital artifact shall mean any kind of digital manifestation of an
intellectual creation manifestation for which a copyright or patent
right exists.

Source form shall mean any Digital artifact in the preferred form for
making modifications, including but not limited to images, texts,
instructions, training set or instructions for machine learning,
concepts, software source code, documentation source, and configuration
files.

Object form shall mean a Digital artifact in any form resulting from
mechanical transformation or translation of a source form, including but
not limited to compiled object code, trained or configured machine
learning models, generated documentation, and conversions to other media
types.

Work shall mean the work of authorship of a Digital artifact, whether in
Source or Object form.

Derivative Works shall mean any Work, whether in Source or Object form,
that is based on (or derived from) the Work and for which the editorial
revisions, annotations, elaborations, or other modifications represent,
as a whole, an original Work of authorship. For the purposes of this
OCTL, Derivative Works shall not include works that remain separable
from, or merely link (or bind by name) to the interfaces of the Work and
Derivative Works thereof.

Contribution shall mean any Work of authorship, including the original
version of the work and any modifications or additions to that Work or
Derivative Works thereof, that is intentionally submitted to the
Licensor for inclusion in the Work by the Copyright Owner or by an
individual or Legal Entity authorized to submit on behalf of the
Copyright Owner. For the purposes of this definition, “submitted” means
any form of electronic, verbal, or written communication sent to the
Licensor or its representatives, including but not limited to
communication on electronic mailing lists, source code control systems,
and issue tracking systems that are managed by, or on behalf of, the
Licensor for the purpose of discussing and improving the Work, but
excluding communication that is conspicuously marked or otherwise
designated in writing by the Copyright Owner as “Not a Contribution.”

Project shall mean any Legal Actors assembly of Work, Derivative Work,
Contributions in form of any kind of manifested, referenced or similar
set of Digital artifacts, such as a git project for example, or a sole
Digital artifact.

OCTL Fellow Project or OCTL Digital Artifact shall mean a Project or
Digital Artifact made available under the terms and conditions of the
OCTL, as indicated by a copyright notice that is included in or attached
to the work.

1.4. Actor representation

In the case of the OCTL a Token shall be created by OCTL smart
contracts. The Tokens and OCTL smart contracts shall manifest, document,
represent and realize permissions, rights, Digital artifacts and Legal
Actors described in this OCTL.

Token Holder shall mean any Legal Actor who created, let create or got
into possession of a Token in any other way.

Contributor Token shall mean any non fungible Token tied to a smart
contract of the OCTL, allowing the Token Holder who is the Rights Owner
to represent one or more Digital Artifacts. For example such Contributor
Tokens can represent as a copyright protected Work, Derivate Works,
Projects, Source, Object or any other kind of Contribution.

Surrogate ID and URI (Uniform Resource Identifier) shall mean any unique
identifier such as a Universally Unique Identifier (UUID) or Token,
representing one or more Digital Artifacts or intellectual property
rights. A Digital Artifact or intellectual property rights can be
associated with multiple Surrogate ID/URI and Surrogate ID/URI
themselves or a set of those can be represented by other Surrogate
ID/URI. The association of Digital Artifacts can for instance be
specified in a file or a git commit or a list of files and Surrogate IDs
to create sets. Another way is to include a OCTL-SID-INFO.txt in the
root of a project, defining which artifacts belong to which SID. In
source code one can also use tags to make associations. Surrogate
IDs/URI can be used as method to associate Contributor Tokens with the
contents of the Surrogate IDs/URIs.

License Token shall mean any non fungible Token representing terms,
conditions and computation directives for a License and its cost for a
defined intellectual property, in Object or Source, represented by a
Contribution Token.

Granted License Token shall mean any non fungible Token representing
usage rights of copyright or otherwise protected Work, Derivate Works,
Projects, Source, Object or any other kind of Contributions.

1.5. Specific OCTL Actor representations

OCTL Maintainers shall be represented by the authors of the OCTL license
and smart contracts itself.

2. Terms of appyling the Open Compensation Token License to Digital Artifacts

Any Legal Actor (second party) shall be granted an OCTL Application
License form the OCTL Root Project/OCTL Maintainers (first party) to
license Digital Aritfacs to a Licensee (third party) which the Legal
Actor holds the sufficent righs and permissions (being the Rights Owner
of the artifacts), provided the following terms and conditions are
met: - The Licensee (third party) of the Legal Actor (second party)
acknowledges and agrees in special that even malicious or illegal
Digital artifacts of the Legal Actor being sold via OCTL smart
contracts/Tokens are not in control of the OCTL Root Project (first
party) and only the Legal Actor himself is accountable for those. - The
terms and conditions of an Application License for the Digital Artifacts
are represented and referenced by License Tokens. - The associated OCTL
smart contracts are used to issue Application Licences in form of
Granted License Tokens. - The Licensees of the Legal Actor acknowledge
the terms, conditions and fees of the OCTL and that the usage of the
OCTL Root Project itself. Thereby, the Legal Actor and their Licensees
acknowlege in special that the OCTL Application is provided with
potential failures, without any warrenties, guarantees and further
liabilities as described in any document of the OCTL Root Project. - The
Legal Actor uses and applies a verbatim copy of the Open Compensation
Token License and apply its associated smart contracts. - The Legal
Actor conspicuously and appropriately publish on each copy an
appropriate copyright notice. - The Legal Actor keeps intact all notices
of the Open Compensation Token License. - The Legal Actor keeps intact
all notices of the absence of any warranty. - The Legal Actor gives all
recipients (Licensees) a copy of the OCTL. - The Licensee of the Legal
Actor acknowledges and agrees that any kind of contractual situation is
only with the Legal Actor and not with the authors of the OCTL. - The
Legal Actor and their Licensee agree to the compensation methods of the
OCTL smart contracts.

In case a Legal Actor, as second party, and any of their Licenees, as
third party, of him meets the provisons of the OCTL, the OCTL smart
contracts, as the first party, can be used to issue Application Licences
in a tokenized form of Granted Licences for Digital Artifacts such as
Work, Derivate Works, Projects, Source, Object or any other kind of
Contributions. The additive terms and conditions to the OCTL terms and
conditions are specified for Granted License Token by referning License
Tokens and their terms and conditions. Licensed Digital Artifacts are
referenced in Granted License Token allowing each third party Licensee
to proof the valdility to use the work by the associated terms and
condition of the associated License Tokens.

2.1. Updates

The OCTL Maintainers, in an agreement of over 75%, may publish revised
and/or new versions of the Open Compensation Token License or its
associated artifacts such as smart contracts from time to time.

Such new versions will be similar in spirit to the present version, but
may differ in detail to address new problems or concerns.

Each version is given a distinguishing version number. If in a Project,
applying the Open Compensation Token License, no version or the term “or
any later version of the Open Compensation Token License is used, any
version later than the specified version or the latest published version
of the Open Compensation Token License shall be applicable for the
project.

Since this license is in activate development, please note that later
versions can override and restrict permissions or introduce new
obligations.

2.3. Contributions to the OCTL itself

Any Legal Actor may provide suggestions or improvements in form of
Digital artifacts for the OCTL and its associated artifacts (e.g. OCTL
smart contracts) and ask for inclusion and incorporation of this into
the OCTL. Any kind of such inclusion request shall be seen as free of
any charge donation where all usage rights, permissions and perpetual
copyright is granted to the OCTL Maintainers without any terms and
conditions.

2.4. Juristiction of the OCTL

In order to cover disributed and decentralized residence and execution
and contractual places of the OCTL smart contracts, Digital Artifacts,
OCTL Maintainers, OCTL Applicants, Licenses and related actors, a common
juristiction for all shall be agreed on by each participant (for
example, but not limited to: OCTL Author, OCTL Maintainers, OCTL
Applicant, Licensee): Any action or suit relating to this OCTL itself or
Digital Artifacts licensed under the OCTL may be brought only in the
courts of Cyprus and under the laws of that jurisdiction excluding its
conflict-of-law provisions. The application of the United Nations
Convention on Contracts for the International Sale of Goods is expressly
excluded. Any use of the original Work outside the scope of this OCTL or
after its termination shall be subject to the requirements and penalties
laws of other countries, and international treaty. This section shall
survive the termination of this License.

2.5. Digital OCTL manifestation

The OCTL shall manifests in a distirbuted and decentralized way.

2.5.1. Software implementation of the License

The OCTL comes with manifestations of its meaning in smart contracts in
source and executable contracts on the blockchain.

2.5.2. Smart contract realization and Open Compensation Token License

-   In case there is a difference between the written version and the
    OCTL smart contracts, the written version shall prevail.
-   In case there are elements in OCTL smart contract that are not
    written in the OCTL text, the smart contract code shall serve as
    manifestation of the meaning of the OCTL.

3. OCTL Project Setup and Management

By default OCTL Projects shall be seen as decentralized and distributed
set of work.

3.1. Inclusion of Contributions

Each Contributor transfers - own ownership and use,
- rights to revise the works, - sharing of any revenue, - and potential
owned other intellectual property such as patents, included in the
Contributions Work to the terms and conditions of the OCTL.

4. Licensing of Downstream Recipients

By using the OCTL smart contracts in the intended way, all licensing
matters of this OCTL are fulfilled for ordinary cases.

4.1. Compulsory to obtain Application Licenses via License Tokens

Any Project, being itself licensed with the OCTL or not, using Digital
Artifacts or other Projects licensed under the terms and conditions of
the OCTL shall obtain the necessary Application License of the used
Projects and an OCTL Application License itself and tied to its terms
and conditions. Thereby using defined as applying, linking, or any other
way of utilization that is described in 4. The necessary Application
License need to be procured by getting into possession of the
representing Application License Token. Details of the different
Application Licenses are described in 4.

4.2. Exemption

Projects using artifacts licensed under the terms and conditions of the
OCTL for solely academic or testing purposes shall be exempted from
obtaining any kind of license as long as they are not reproducing the
work licensed under the terms and conditions of the OCTL publicly or
within a company.

4.3. Inclusion in other Licenses

In case a Legal Actor licenses own work under a custom license, in
combination with any kind of Work that is under OCTL, the Legal Actor
shall ensure the following: - Each Third party gets a copy of the OCTL
and shall be tied to the original terms of conditions of the artifacts
of the OCTL like if they used the project themselves. - Each time the
Legal Actor conveys a work covered by the terms and conditions of the
OCTL, the recipient, or Legal Actor, acting then as as Licensee on his
behalf, is required to procure the following token representations: -
The necessary Application Licenses according to the usage scenarios of
the OCTL Projects which are used. - An OCTL Application License.

4.4. Value added services

A Legal Actor may choose to offer, and charge a fee for, acceptance of
support, warranty, indemnity, or other liability obligations and/or
rights for Projects licensed under the terms and conditions of the OCTL.
However, in accepting such obligations, a Legal Actor may act only on
their own behalf and on their sole responsibility, not on behalf of any
other Contributor, and only if the Legal Actor agrees to indemnify,
defend, and hold each Contributor harmless for any liability incurred
by, or claims asserted against, such Contributor by reason of the Legal
Actor accepting any such warranty or addit.

5. Application Licenses

The term Granted License Tokens is the technical manifestation of an
Application License. Users of Projects and Digital Artifcats licensed
under the terms and conditions of the OCTL need to obtain Granted
License Tokens via the associated OCTL smart Contracts under the
following terms:

5.1. Application License procurement

Granted Application Licenses have to be procured 10 days after the usage
of artifacts under the OCTL.

5.2. Application License pricing

Each Project can choose its own pricing metrics, within the parameters
of the OCTL. Licensees may have to specify a questionaire about their
usage that then gets use to compute the License costs for each Digital
Artifact or Project under the OCTL.

5.3. Application License creation

Application Licenses are valid as long as the associated Granted License
Tokens are valid. The OCTL smart contracts specify the validity and
transferability of the Application Licenses.

5.4. The following Application License can be obtained for any Project licensing under the terms and conditions the OCTL

For each Application License a corresponding license token shall be
procured. Licenses can differ in price for the purchasing Legal Actor,
for instance if it is an open source project under the OCTL or it is an
end customer. Specific Application Licenses are defined via License
Tokens and associated definitions. As of this moment only OCTL
Maintainers are allowed to define new Application Licenses.

5.5. OCTL progress distribution

Each process of procuring Application Licenses with the OCTL might
define a fee to be substracted for the OCTL creators which is
automatcially deducted during Application License procurement.

5.6. Granted License Tokens

Application Licenses can be represented by License tokens on a
distributed ledger where the association with Contributor Tokens is
documented.

5.6.1. Uniqueness

Each license token shall be unique and not interchangeable.

5.6.2. Transferablility

-   The OCTL Smart Contract implementation specifies transferability
    feature or denies them.
-   Transfers of an Application Licenses can also include a commission
    that is distirbuted to the Contributor Token holders.
-   Once a Application License Token was transferred a new Token Holder
    this shall represent the transfer of the Application License itself.

5.7. Time based Application License Tokens

Time based Granted License Tokens grant Application Licenses only for a
specified time period. After this period the Application Licenses holder
is not holding a valid Application Licenses anymore. The OCTL smart
contracts contain the specifics how long an Application License is
valid.

5.8. Procurement of Application Licenses for a third party

Not all Legal Actors use blockchain technology, therefore the OCTL
supports the following scenario: Legal Actors can procure tokens on
behalf of another entity, provided the purchasing Legal Actors only
purchase a non-transferrable Granted License Token for the third party.

6. Contributions

Providing Contributions to a Project can be associated with non fungible
Contributor Tokens.

6.1. Royalty

Royalties are for instance collected by donations, Contribution Token
sales, Application License procurements, sales or trade of Tokens and
stored via OCTL smart contracts. Those royalties are then distributed
according to the OCTL smart contracts to creators and/or owners of
different OCTL Tokens.

6.2. Terms of inclusion

Unless a Contributor explicitly states otherwise, any Contribution
intentionally submitted for inclusion in the Work of an OCTL Fellow
Project shall be under the terms and conditions of the OCTL, without any
additional terms or conditions.

7. Token price

The Token price of any token associated with the OCTL is the net amount
after eventual taxes. Eventual sales tax, withholding tax, service tax,
goods tax or any other tax such as value added tax needs to be covered
by the token purchasing entity and is on top of any Token price.

8. Trademarks

This License does not grant permission to use the trade names,
trademarks, service marks, or product names of the Licensor, except as
required for reasonable and customary use in describing the origin of
the Work.

9. Disclaimer of Warranty

Unless required by applicable law or agreed to in writing, each Licensor
of an OCTL Project and the OCTL Fellow Project itself provides the Work
(and each Contributor provides its Contributions) on an “AS IS” BASIS,
WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied,
including, without limitation, any warranties or conditions of TITLE,
NON-INFRINGEMENT, MERCHANTABILITY, or FITNESS FOR A PARTICULAR PURPOSE.
Any Legal Actor is solely responsible for determining the
appropriateness of using or redistributing the Work and assume any risks
associated with your exercise of permissions under this OCTL.

In no event and under no legal theory, whether in tort (including
negligence), contract, or otherwise, unless required by applicable law
(such as deliberate and gross negligence acts) or agreed to in writing,
shall any Contributor or Maintainer of an Project and the OCTL Fellow
Project itself be liable to Legal Actor, and in specific Licensee, for
damages, including any direct, indirect, special, incidental, or
consequential damages of any character arising as a result of this
License or out of the use or inability to use the Work (including but
not limited to damages for loss of goodwill, work stoppage, computer
failure or malfunction, or any and all other commercial damages or
losses), even if such Contributor has been advised of the possibility of
such damages.

If the disclaimer of warranty and limitation of liability provided above
cannot be given local legal effect according to their terms, reviewing
courts shall apply local law that most closely approximates an absolute
waiver of all civil liability in connection with the Program, unless a
warranty or assumption of liability accompanies a copy of the Program in
return for a fee.

         END OF TERMS AND CONDITIONS

    @octl.sid:7dec4673-5559-4895-9714-1cdd61a58b57