I have checked with the Code Canyon staff
many times on this very subject…
I would suggest you to do the same…
If a person purchases Extended rights, and
makes it part of a bigger project, IE: (including more modules etc.) then it IS
ok to resell plugin to more multiple customers…
Not only that, as this is a WP plugin, the GPL
licensing agreement for wordpress superceded as well…
What he wants…
He wants to purchase my plugin’s extended license and then want me to add extra modules/functions and then resell it again to multiple clients. Is this what extended license is?
Extended licenses are only relevant to the way the site is used e.g. if people have to pay to access or use it such as subscriptions for exclusive content then this would require an extended license. IT does not impact the number of client/products it can be used on
GPL is difficult because technically it would apply although items sold via envato have further restrictions on them which prevent certain use.
On a slight side note - if you are ever editing or modifying an item for some one for private use then you need to charge customisation fees appropriate to freelance rate, and if (as in this case) it was for someone to resell on and profit from it then these should be notably high (hundreds if not thousands of $).
This customer sounds like they may face problems - if they can’t modify the plugin for themselves then:
How are they planning to support it when reselling to clients?
How are they planning to update it in line with WP upgrades?
Deal with compatibility with certain themes?
My guess is they would be in contact with you which could result in a lot of work for you and for which you should be charging a lot to do (again it’s beyond scope of items bought here and also they will profit from your efforts).
Feel free to contact envato yourself maybe for assurance but I am almost certain that this is right. Envato Help & Support Center
Think of it as with templates and WP themes etc. It’s pretty common knowledge and understood that 1 license = 1 website. This remains the same and is regardless of it you buy it for a client job and edit the site contents functionality or features. the exact same rules apply to plugins.
If you were creating a completely bespoke plugin based on their requests as a freelance job, then the way in which is it used would be up to you (because it’s not being sold via envato). But, this wouldn’t be allowed to be based on the item sold here and the fees to build a custom solution, again esp if they will profit from it in the future, to be a lot (hundreds/thousands of $).