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An End User License Agreement (EULA) and Terms and Conditions (T&C) are both legally binding contracts. Many websites should have both. An EULA is the agreement between someone who downloads software (the licensor, or end user) and the developer.

For instance, a EULA outlines your terms and conditions, restrictions on usage and limits on the liability of the developer. Before installing or accessing the software, the user must agree to the conditions of the EULA, which means they are limited by the terms you have set.

A EULA specifies in detail the rights and restrictions which apply to the use of the software. Many form contracts are only contained in digital form, and only presented to a user as a click-through which the user must "accept".

In the USA, EULAs are binding contracts and software distributed under them is licensed for use, not sold. You break the EULA, you lose your license. That's the law.

Perhaps the key difference between a EULA and a software license agreement is that a EULA is often meant for scenarios where many users could be using the software on a continuous basis and a software license agreement is more often used for business-to-business, often times for finite engagements.

Conclusion. An End User License Agreement (EULA) and Terms and Conditions (T&C) are both legally binding contracts. Many websites should have both. An EULA is the agreement between someone who downloads software (the licensor, or end user) and the developer.

The licensor will be entitled to whichever remedies the EULA specifies in the event of such a breach. The licensor probably will be entitled to stop the licensee's use of the licensed product; if the licensee does not stop, then the licensor may be able to obtain a court order prohibiting such use.