SAP Unlimited During Deployment contract
SAP’s UDD contract is a licensing contract that covers a specific set of products during a predefined period at a set price for the initial purchase as well as for the yearly maintenance fee. UDD applies to on-premises products only. Like any other SAP contract, the UDD agreement specifies a metric and a quantity for each of the included products, where the quantity reflects the then-current contractually agreed number of licenses for the different programs. Regardless of the contracted quantities though, a customer can deploy any quantity of the products covered during the contract period, without having to pay additional fees.
Understandably, the agreement will include a clause specifying if and to what extent any additional entities that are acquired during the term of the contract can make use of the UDD. Adding a new affiliate or subsidiary will most certainly mean that an addendum to the contract, including additional payment, is required.
Before the expiration of the contract, the customer is required to report its then current actual usage of the programs as included in the UDD contract. If the usage is lower or equal to the UDD contract numbers, no additional payment is required. However, if the actual usage exceeds the contracted number of licenses as per the UDD, the customer will be subject to paying an additional license and then current maintenance fee from the end date of the UDD contract.