Question about licence/custom licence

I’ve been asking this question multiple times over the last 2 years, and not getting a direct and clear response.

I would like to use unreal engine to provide my clients with standalone apps, not for any app store. However, the income generated from these will surpass $3000.

Lets say that i am creating a VR app in unreal for a simulator for company X. Company X has hired me to create this and will pay me for it. This app, will always remain internal to company X OR will be used at an event to show to their customers (again, only one system running the app).

In this scenario, do i need a custom licence? I dont believe the 5% royalties applies here, does it?

Please let me know at the earliest, as i will have to adjust my quotation accordingly.

Thank you.

Fill out this form and they should be able to tell you an appropriate answer. Other licensing options - Unreal Engine. However, I’m not an attorney so this isn’t legal advice, but an observation. You’ll have to pay 5% once revenue is over $3,000 since that’s pretty clear in the EULA (since you’re selling it to someone).
Read more here Frequently Asked Questions - Unreal Engine .

Thanks! That helped!

Hi Hereafter. Thanks for your question. Is the app you are making a custom work for hire made specifically for company X?

So, I’ve filled out the form, sent multiple emails, tweeted and Facebook, but still no response from Epic.
Can someone from Epic please chime in here.
Need to know how to get a custom license, and if payment is required, how to do that. More so, i need to know these things asap as every client has a deadline.
Please guys. Somebody. Anybody.

Have just sent another inquiry.

DudleyStephens has commented above. Reply there to notify them so you can talk to a staff member.

Hi Dudley, almost an year later, hope you are still there. This answer went unnoticed.

Yes, you are correct.

I am newbie my self, but in your case why not just use company EPIC account and let company deal with EPIC licencing.

I own the company and we are a small team

To sum up and clarify your comments in this thread, you own Company Y, and Company Y will be developing a custom work for hire app made specifically for Company X, correct? In that case, Company Y will not owe royalties for the fees received for developing the app. You do not need to use Company X’s license.

Im assuming you meant "You do need to use Company X’s license. "

Now, what if Company X has no license.
There are 3 scenarios here:

  1. Company X is selling the game on one of the stores.
  2. Company X will never sell the game, but use it for advertising purposes/free app on app store/used at an event at a tradeshow
  3. Company X will rent out the app to Company Z (which also belongs to Company X) for a month during tradeshows.

Also, we are now getting into putting up paid apps on the app store. I’d like to know how one pays royalties to Epic anyway.

Company Y can develop and deliver the custom app to Company X under Company Y’s own license. Company Y does not need to use Company X’s license, and Company Y will not owe royalties for the fees for developing the custom app.

Company X will need a license to sell or distribute the app, whether for free or otherwise. Company X will owe royalties for revenues collected from the app. Instructions for paying royalties can be found here: Release and Royalty Tracking Guidelines - Unreal Engine

Thanks for the response.
Along with that, could you also tell me what i can tell Company X as to the expectations?
The app would be distributed locally through download links and wont be on any store. It would also be distributed mostly to different global branches of Company X. For revenue collected if any, would they need to apply for a custom licence?

They wouldn’t need to apply for a custom license. They can operate under the UE4 EULA.