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Open Source Rule Engines Written In Java » » Java Rules Engines » JESS licensing
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Actually, you -can- embed Jess in a product and allow the user to customize your product by adding or modifying rules.
What you're -not- allowed to do is resell Jess as "Joe's Rule Engine" by rebranding Jess and exposing its full capabilities through your own interface, thus allowing your users to create their own new "Joe's engine" products.