GED Reasoning Through Language ArtsReading ComprehensionMedium

A client is reviewing a new software license agreement. One clause states: 'The licensee is hereby granted a non-exclusive, non-transferable, revocable license to use the Software.' The client is unsure about the meaning of 'revocable.' Which of the following statements best explains 'revocable' in this context?

  1. AThe licensor can cancel or withdraw the license at any time.
  2. BThe licensee can return the software for a refund.
  3. CThe software can be used on multiple devices simultaneously.
  4. DThe license can be transferred to another user.
Show answer & explanation

Correct answer: A. The licensor can cancel or withdraw the license at any time.

In legal and contractual language, 'revocable' means that something can be taken back, canceled, or withdrawn. Therefore, a 'revocable license' implies the licensor retains the right to terminate the agreement.

Why the other options are wrong

  • B. This refers to a refund policy, which is not directly implied by 'revocable' for a license.
  • C. This relates to usage terms, not the cancellability of the license itself.
  • D. This contradicts 'non-transferable' and is not related to 'revocable'.

Vocabulary in Context (Legal)

Determining the meaning of a specialized legal term by analyzing its usage within a contract or legal document and understanding common legal principles.

  • Legal terms often have precise, specific meanings.
  • Context clues include other legal terms and the overall purpose of the clause.
  • Understanding prefixes/suffixes can sometimes help (e.g., 're-' for 'again').

Memory trick: Revocable: You can 'revoke' that privilege, taking it back.

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