Protect API integrations, payment processing partnerships, algorithm IP, and transaction data with provisions designed for fintech relationships.
Common fintech partnership scenarios requiring specialized protection
When integrating payment processing capabilities, sharing API documentation, or providing access to transaction processing systems.
Discussions about licensing trading algorithms, fraud detection models, or credit scoring systems that represent core IP.
BaaS partnerships where fintechs access bank infrastructure or banks evaluate fintech platforms for embedded finance offerings.
Sharing transaction data, user behavior data, or financial analytics for product development or market research purposes.
| Issue | Risk Level | Recommended Action |
|---|---|---|
| Broad residuals clause allowing algorithm retention | High | Carve out algorithms, models, and source code from any residuals rights |
| No PCI-DSS compliance requirement | High | Add explicit certification requirements and audit rights |
| Unlimited data aggregation rights | Medium | Require anonymization and limit commercial use of aggregated data |
| No subprocessor restrictions | Medium | Require consent and flow-down of confidentiality obligations |
| Standard term without trade secret carve-out | Low | Add indefinite protection for information qualifying as trade secrets |
Fintech partnerships often involve complex regulatory considerations including state money transmitter licensing, SEC registration requirements, and banking regulations. This template provides a starting point but should be reviewed by counsel familiar with financial services regulation before execution. Payment processing agreements in particular may require additional terms beyond an NDA.