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What is an API Agreement?

The API agreement is a legal document that justifies legal obligation and warranties between two parties that use API technology to communicate and exchange information and data.

API is the acronym of Application Programming Interface and is mainly a way for two or more software systems to exchange content and information.

What are some examples of API uses?

There is a wide range of API uses and many of them are used by internet users in their daily online activities. For example when an online user uses his Facebook or Google credentials to login to another platform or website (Facebook login / Gmail login feature) then a API system is the intermediate and responsible for the secure and correct exchange of data so that the login is actually done.

Another example of API use is online payments. When an eshop visitor adds a product to cart and wants to pay in order to complete an order, he uses a certain payment method such as Credit Card payment or PayPal payment. For a money transaction to become successful and pass the information to the merchant that the payment has actually been made (for example the credit card has been charged) an API is being used that exchanges information between the eshop and the payment provider.

What are the legal provisions included in an API Agreement template.

The API Agreement template structures in a written form all warranties, prices, obligations, restrictions, fees involved in API use from two contracting parties. The API license agreement is actually a legal contract between the two parties defining all terms of business relationship.

Some of the required parts of an API Terms of Service Agreement would be:

  • detailed pescription of payment and pricing
  • liabilities of both parties
  • service monitoring and provisions about technical errors / upgrades
  • intellectual propery
  • content restriction / usage restrictions
  • future modifications

Where can you download an API Agreement template?

Pickagem Essential Pack includes a template of API agreement. You can download it and modify it by purchasing the 6 Legal documents Essentials pack through our website.