Unreal® Engine 4 License Highlights

One thing that many people gloss over (myself included from time to time) is the license agreement. This is actually a horrible habit that is hard to break because of how dry the agreements can be. This particular post is meant to cover all parts of the agreement for the Unreal® Engine 4 as succinctly as possible. Remember, this is just a reference and the full agreement should be read and cited. Anything said below could change at any time and does not hold up against the official agreement at all if there is any conflicting information of any kind.

1. License Grant

When you buy the license it is for only you to use, with a few important exceptions.

Restrictions on Distribution and Sublicensing

You may not hand out source code except when you have to because it is part of an object, in object code format.

What you hand out may not be/have engine tools, nor allow the creation of standalone products.

You are completely free to share code with anyone who has access to the same version of the Engine.

No sublicensing.

Before publishing you must tell Epic that you are releasing at unrealengine.com/release, as early as you reasonably can.

You may not use source code that requires the remaining code be open source (GPL, LGPL, Creative Commons Share-Alike), but you may link compiled libraries. Okay to use source code: BSD License, MIT License, Microsoft Public License, or Apache License.

Other Restrictions

Product may not be used in any way for: gambling, government/military control/communication systems, in a way that violates any laws/regulations, a rent/lease capacity, misappropriating any of Epic's products/services, in support of a claim that it infringes on a patent. No selling it as a security system of any kind.

2. User License

Licensed to a single user. May be put on any number of machines, but no one else may use it. You must have an account; it may also not be shared. You may only use the software as long as you comply with the agreement

Academic institutions do not need to abide by the single-user limit; however, if a student wishes to publish anything, they must first obtain their own license.

3. Subscription

Subscriptions automatically renew. Subscriptions grant future version code/asset access (if there is any).

Subscription may be cancelled by you at any time. Epic may also cancel subscription if they generally discontinue subscriptions. Cancellation means you get what you paid through for, not necessarily an immediate cutoff.

Cancellation of your Subscription will not affect your rights under the License with respect to any Licensed Technology you have already downloaded under the License.

4. Royalty

Epic gets 5% of:

  • Product sales
  • In-app Purchases, DLC, Subscriptions
  • Crowd Funding (5% of whatever the base product access level is, not including benefits)
  • In-app Ad revenue
  • Advance payments for product
  • Any other revenue that is attributable to the product (not listed below)

 Epic won't take a cut from:

  • Media sold that doesn't use the engine
  • Non-digital products that cannot impact the software directly or indirectly (QR codes)
  • Rides or arcade games which can use the engine
  • Consulting fees or work-for-hire fees using the engine (e.g. walkthroughs or training sims)

Royalty is calculated based on gross revenue before any fees, taxes, or deductions are applied.

Payments occur within 45 days of the end of each quarter. Detailed reporting/payment information available at unrealengine.com/release.

Royalty will be paid so long as any code/assets are under copyright (yours, or Epic's).

5. Payments

Epic may charge a 2% late fee. Taxes and such are your responsibility.

6. Records and Audits

Document everything you can. Epic may audit you; so might the government.

7. Support

Epic doesn't have to give support, at all. Check unrealengine.com/support.

8. Feedback and Submissions

Epic will use feedback given in whatever way it chooses. Submissions to Epic become the property of Epic to the fullest extent permissible by law. You may still use your feedback and submissions in accordance with the license.

Epic may not use your input, or may not credit you for it if they do.

You understand that you grant Epic full use by submitting, no "gotchas."

9. Third Party Software

Unreal Engine uses third party components with their licenses in /Engine/Source/ThirdParty/Licenses. Third party licenses take precedence for those specific portions of the engine.

10. Ownership

Epic owns engine and assets. You own everything you produce, under the license.

11. Proprietary Notices

You agree to put the copyright, trademark, other proprietary notices, and disclaimers of Epic and third parties as they appear in the Engine Code and the Assets in your product.

12. Attribution

You agree to place the following notices in the credits for any Product (replacing xxxx with the current year):

“[Product name] uses the Unreal® Engine.  Unreal® is a trademark or registered trademark of Epic Games, Inc. in the United States of America and elsewhere”

“Unreal® Engine, Copyright 1998 – xxxx, Epic Games, Inc.  All rights reserved.”

You may not use the trademarks to confuse consumers, or to go against Epic.

Epic may use your trademarks and public content for personal gain.

13. Disclaimers and Limitation of Liability

You get what you get and cannot blame Epic for things that are broken, or even expect them to necessarily fix it.

If Epic's product causes any damage or problems, they are not at fault, ever.

14. Indemnity

Should legal action be brought against you, Epic will never be a part of it. If they get roped in somehow, you have to cover their bills.

15. Export Restrictions

You agree to all laws, and be sure to follow them, before releasing to any country.

16. Term and Termination

A. Term of License:

Agreement is valid unless terminated in one of below methods.

B. By Epic:

Epic may terminate agreement if you violate it and do not fix within 30 days said violation. Failure to pay Epic also results in termination.

C. Termination for Patent Action:

Terminates if you claim, or support a claim, that engine infringes on patent.

D. Effect of Termination:

Upon termination, the license terminates, and you may no longer exercise rights as granted by the license. You must destroy all copies of the Licensed Technology, stop distributing, and destroy all Products in inventory unless otherwise agreed to by Epic.

E. No Refunds

F. Surviving Provisions

Sections 4-6, 8-10, 13, 14, 16-18, and 22-25 will survive termination of this Agreement.

17. Governing Law and Jurisdiction

All legal matters will be resolved in the North Carolina.

18. Class Action Waiver

You cannot participate in one.

19. U.S. Government End Users

This is a commercial computer software product and should be treated as such. Users get same rights as others.

20. Independent Contractor

You and Epic may not speak for one another, or create any obligations for one another. You are both technically independent contractors.

21. Amendments of this Agreement

Epic will notify you of amendments, which you must accept to continue using the product.

22. Notices

Anything that calls for notice from Epic will be sent to the email address you provided. Be sure it is correct.

23. No Assignment

Unless with written permission from Epic, you may not share your rights under this agreement, including account transfer. This speaks about Epic products, not yours. Third party stuff is controlled by third party licenses.

24. Definitions

Pretty straightforward, all the words probably mean what you think they do.

25. Miscellaneous

The agreement is the full agreement and stands above anything else. Translated versions are for reference only as the English version is official.

This agreement may not infringe on rights granted by law.

Delay by Epic on these points is not the same as no response.

If something cannot be enforced by law, then something as close as possible is what counts.

Epic obeys the law, even if something in this agreement seems to run counter to it.

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