Buyer guide

Termination and disputes

Ending a contract early, and how upfront payments are handled when it ends.

What is contract termination?

Termination ends a contract with an issued license before its period is over. An admin terminates it when both sides agree, when one side doesn't keep the contract, or when the seller can no longer provide the rights. Use up to the termination date is recognized as legitimate, and the license can't be used from then on. Royalty contracts with no upfront amount (₩0 upfront) can be ended by termination even before the license is issued.

Termination vs. full refund

• Termination: use up to the termination date is recognized. The order becomes terminated, and you can still download the license certificate with a terminated mark.
• Full refund: the contract is treated as if it never existed. The order becomes refunded, and the license is revoked so the certificate isn't available.
• To end a contract before the license is issued, cancel the order (before payment) or request a refund (after payment) instead of terminating. Only ₩0-upfront contracts are terminated before issuance as an exception.

Handling the upfront payment on termination

When terminating, how to split the upfront amount already paid is decided at the same time. The order details show how it was handled next to the terminated mark.

• Termination · no refund: the upfront amount isn't returned, and the seller receives it as the sale payout.
• Termination · partial refund (upfront): part of the upfront amount is returned to the buyer, and the seller receives the rest.
• Termination · full refund (upfront): the entire upfront amount is returned to the buyer. The contract is still terminated, so use up to the termination date is recognized and royalties up to then must be paid.

The refund is complete once an admin finishes the transfer. Bank transfer orders need a refund account. The seller's payout isn't sent until the refund is complete.

Royalties after termination

For royalty contracts, sales must be reported and royalties paid through the month that contains the termination date. For that month, include only sales from the 1st through the termination date. For example, if terminated on October 15, report October sales (1st–15th) by the November payment day, and nothing from November on. Royalties already paid aren't returned on termination. If reported sales were wrong, please use the royalty report correction process.

Requesting termination

If you need to terminate, first talk with the other side in the deal chat about whether to terminate and how to handle the upfront payment, then let the Help center know. An admin reviews both opinions and the deal history, decides the reason and how to handle the upfront payment, and processes it. The outcome and reason are shared with both sides in the order details, notifications, and deal chat.

Termination during a dispute

If the admin reviewing a dispute decides the contract can no longer reasonably continue, they can terminate it to close the dispute. The upfront handling (no refund, partial refund, full refund) is decided at the same time, and the dispute outcome shows that it was closed by contract termination.

After termination

• A terminated license can't be used after the termination date. To keep using it, you need to buy it again.
• When a fully exclusive contract is terminated, other buyers can buy that right.
• The deal chat room doesn't close. You can continue talking about remaining royalty reports or refunds.
• A royalty contract is considered ended once royalties through the termination month are paid, after which you can delete your account.