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Quote from the Official WordPress Site:

“The license under which the WordPress software is released is GPLv2 (or later) issued by the Free Software Foundation. A copy of the license is included with every copy of WordPress, but you can also read the license text here.

Part of this license specifies requirements for derivative works, such as plugins or themes. Derivatives of the WordPress code inherit the GPL license. Drupal, which has the same GPL license as WordPress, has an excellent licensing page as it relates to themes and modules (their word for plugins).

There is some legal grey area regarding what is considered a derivative work, but we are confident that plugins and themes are derivative works and therefore inherit the GPL license. If you disagree, you might instead consider a non-GPL platform such as Serendipity (BSD license).

WordPress.org – GNU Public License

So you have 4 basic rights, called “freedoms”.

  • The right to run the plug-in for any purpose
  • The right to analyze how the plug-in works and adapt it to your needs
  • The right to distribute an unmodified copy of the plug-in
  • The right to improve the plugin and publicly distribute your own improvements so that the entire community can benefit from them

Sources used:
1. https://wordpress.org/about/license/
2. https://wikipedia.org/wiki/GNU_General_Public_License