3001
Litigation Risks of Ignoring Software Audits
Software audits are a means for software publishers to enforce and regulate use of their copyrighted software, and publishers regularly outsource enforcement of their copyrights to law firms or entities such as the BSA| The Software Alliance (“BSA”) or Software &......
1212
Ignorance is Not a Defense to Copyright Infringement Claims
Software publishers, acting alone, or through a proxy such as the Business Software Alliance (“BSA”) or Software & Information Industry Association (“SIIA”), regularly audit customers or potential customers to ensure license compliance and deter against copyr......
2811
Disguised Software Audit Clauses
Agreements often contain clauses allowing the parties to review books and records, “Books and Records” clauses. These are often boilerplate clauses included in agreements without much consideration from the contracting parties. When a Books and Records clause is used......
1411
Software Audits: The Importance of Timely Completion of Post-Settlement Obligations
Software audits initiated by software publishers or representative entities, such as the Business Software Alliance (“BSA”) and Software & Information Industry Association (“SIIA”), are often resolved by an out-of-court settlement.
Read More → 11 Secrets......
2410
Negotiating Copyright Infringement Damages in Software Settlements with the BSA
The BSA | The Software Alliance (“the BSA”) investigates claims of software copyright infringement in behalf of its member software publishers to determine whether any companies end users have unlicensed software installed in violation of The Copyright Act.
The BS......
2908
Costly Software Audit Mistakes
BSA | The Software Alliance (BSA) and the Software & Information Industry Association (SIIA) are organizations that represent software publishers seeking to enforce the copyrights in the products they publish. In furtherance of this goal, these entities routinely send ......
1807
Not All Software Audits Are Protected By Privilege
Companies faced with a demand for a software audit from a software publisher or an entity such as the Business Software Alliance or Software & Information Industry Association are increasingly turning to their own internal IT departments or hiring technology consulta......
2706
VMware Licensing: Common Questions about Licensing Rules and Restrictions, Part II
Virtualization can reduce the number of physical machines required in an environment and have several other benefits, but it can also require an understanding of complex technical and licensing concepts. Failure to properly license the environment can subject the company t......
2006
Copyright Infringement Defense: Know When to Consult Outside Counsel
Even though software audits are commonplace in many businesses, recipients of audit notices make many mistakes when it comes to audit responses. Because software publishers can often assert claims for copyright infringement if the audit goes badly, it is important to m......
1306
VMware Audits: What You Need to Know About Licensing Rules, Part I
It is not unusual for companies to use virtualization technologies to reduce costs, ensure redundancy, and reduce physical size of the network. Some of these companies are turning to VMware to manage their virtualized environments. Virtualization can involve complex tech......
3105
Navigating Microsoft License Verification Audits
Microsoft, like other software publishers, routinely audits customers to help ensure that it is protecting the value of its intellectual property. Microsoft verifies its customers’ compliance using several methods.
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Microsoft License Verification ......
0205
How did Autodesk know to audit you and what do you do now?
Facing a software audit is a daunting process, which takes time, money, and resources to complete. Typically, the first question the target of an audit asks is whether the audit is legitimate, closely followed by why the company has been selected for an audit.
Contact U......
1401
How to respond to a VMware Audit
Managing a complex IT environment very challenging, even before becoming involved in an external software audit from a software publisher or a third-party auditing entity. Businesses facing VMWare audits in particular should be prepared to take a number of steps to ensure ......
1101
Software Audits: Proving Ownership of Software Licenses
Often the single most arduous and time-consuming task facing companies who are the subject of software audits is collecting entitlement information to prove ownership of licenses for software installed on its networks. Once a company receives an official audit letter from ......
3012
Managing Audits to Prevent Unauthorized Disclosures by Technology Teams
Disputes involving software usage are on the rise for businesses of all sizes. In some cases, technical teams respond to a software publisher’s or a third party’s audit request and provide significant amounts of data without notifying anyone on the corporate governan......
1412
General Counsel Should be Aware of Disguised Software Audit Clauses
Software license agreements often contain clauses allowing the licensor to review books and records, “Books and Records” clauses. These are often boilerplate clauses included in license agreements without much consideration from the contracting parties. When a Books ......
1012
Time Settlement Right for Software Audits
There is a growing trend for software publishers to keep software audits in-house and avoid using external organizations to pursue copyright infringement claims. Often, the compliance teams at the software publishers seek payment for software non-compliance through contr......
0812
Key Provisions for In-House Counsel to Include in Software Settlement Agreements
The end of the year is a busy time for software publishers and entities like the BSA | The Software Alliance (“BSA”) and the Software & Industry Information Association (“SIIA”) to resolve an audit target’s copyright infringement dispute by entering into se......
0312
How CIOs Should Prioritize and Resolve Multiple Software Audits
A software audit may come in many forms, ranging from an offer for a free Software Asset Management (SAM), a License Verification, or a request by a representative organization, such as an outside law firm, the Business Software Alliance (BSA) or Software & Informati......
0511
A Chief Information Officer’s Guide to Mitigating Costs Amid Software Copyright Disputes and Audits
At this stage, if your company has not faced a software audit, you are probably on borrowed time. Many software publishers are initiating software audits using their in-house compliance teams instead of outsourcing to law firms or third-party vendors. Often, compliance t......
0211
CIOs and CTOs: Bad Advice That Can Get You Sued for Software Copyright Infringement
Previously, I wrote an article about poor advice that can get you sued for copyright infringement in software audits. While some of the main auditors have changed, the advice has not. The following is the most common bad advice that can result in litigation.
Softwar......
2610
When Outside Counsel Is Worth the Cost: Software Copyright Infringement
Companies are sometimes fielding multiple software audit demands from multiple software vendors simultaneously, which can significantly impact in-house counsel.
Software audits may be initiated by publishers or through outside entities such as BSA | The Software Allia......
2210
Top Tips for Post-Audit Software Remediation
Responding to a software audit can be an arduous, expensive, and time-consuming process for a company. The remediation process to close compliance gaps may vary slightly depending on whether the audit is initiated the software publisher itself or outsourced to an agency ......
2109
BSA Informants: Disgruntled Employees
How to Protect Your Company against Copyright Infringement Claims by Disgruntled Employees Seeking a Reward
In an effort to enforce the copyrights of its members, Business | The Software Alliance (“BSA”) offers the potential for monetary rewards to any informant tha......
1609
Intellectual Property Liability Considerations for M&A Transactions
Mergers and acquisitions typically require extensive financial and legal disclosures, due diligence, and complex contract language to protect buyers from legal issues that may arise from the purchase. Potential liability arising from intellectual property issues is a sig......
2708
Superseding Audit Rights for Software Copyright Infringement: Settlement Agreements Versus Software License Agreements
Many software copyright infringement claims are resolved informally and often the terms are set forth in a settlement agreement. The critical terms in every settlement agreement purporting to resolve copyright infringement claims include the release of liability, confide......
0208
Recent Developments in Autodesk Licensing and Audits, Part II
Many of our clients ask us questions after receiving an audit letter from Autodesk. Part I of this series focused on new trends by Autodesk’s auditing, and included in Part II is a list of potential issues arising during an audit. While this list is not comprehensive, ......
2307
Top Three Revisions to Request in Software License Audit Clauses
Large companies that invest heavily in software licensing are familiar with the extremely one-sided nature of most software license audit clauses. It is a pleasant surprise when such clauses do not give software publishers rights to conduct audits at any time and for any......
1307
Kaseya Ransomware Attack: Does Negligence in Security Affect Liability?
Kaseya, a large technology solutions company, recently reported that its on-premises VSA product was the “victim of a sophisticated cyberattack.” (See generally, Kaseya's announcements here). Specifically, third-parties were able to access computer endpoints using Ka......
0707
Burden of Proof in Copyright Infringement Matters
In a civil copyright infringement claim, many users of copyrighted material are surprised to learn that once the copyright owner has demonstrated that it owns a copyright in the work, the burden shifts to the copyright user to demonstrate that it had the right to use the......
1406
Recent Developments in Autodesk Licensing and Audits, Part I
Autodesk introduced subscription plans in 2016 and shortly thereafter, began to phase out perpetual licenses. However, many perpetual users were able to continue upgrading to the newest version of Autodesk products if they had an active maintenance plan. Last month, Auto......
1105
Bad Advice That Can Get You Sued for Software Copyright Infringement
In recent years, many software publishers began using software audits as a means to increase revenue by penalizing customers for perceived compliance issues. Software publishers often conduct direct audits, or audit through companies such as the BSA | The Software Allian......
2212
The True Cost of Defending Against Copyright Infringement Litigation
Software publishers and entities like the BSA| The Software Alliance and the SIIA regularly audit companies to investigate copyright infringement claims. These entities seek monetary penalties if any infringement is discovered, and in the majority of cases, reach an out of......
1512
Identifying Legitimate Software from Authorized Vendors to Avoid Copyright Infringement Claims
The International Data Corporation (“IDC”) reports that more than one-third of all software sold is counterfeit, despite often being marketed as authentic or legitimate by a third-party reseller. In addition to counterfeit software, some vendors sell heavily discounted......
0111
Don’t Wait For a Settlement Demand to Hire an Attorney for Copyright Infringement
Software publishers have increasingly identified software audits as potential revenue-generating exercises, which has led to a rise in the number of companies targeted. Small, medium, and large companies all need to be aware that a software audit can result in extensive ti......
2910
Autodesk Licensing Implications of Working from Home
The Covid-19 pandemic shifted entire non-essential industries to a remote workforce, leaving companies scrambling to set up employees to work from home. A study in June 2020 by Pricewaterhouse Coopers determined that nearly 70% of office workers were working remotely. Wh......
1009
Timing is Key for Software Audit Settlements
More than 90 percent of software audits initiated by software publishers or representative entities, such as the Business Software Alliance (“BSA”) and Software & Information Industry Association (“SIIA”), are settled out of court after negotiating a final settle......
0809
Avoid Overpaying for Software Settlements
Most software audits initiated by the software publisher or a third party entity authorized to pursue copyright infringement claims on behalf of the software publishers, such as the BSA| The Software Alliance (“BSA”) or the Software & Industry Information Associa......
2108
Prevent Autodesk Business Disputes from Turning into an Audit
Autodesk sometimes reaches out to its customers to offer additional services, products, or upgrades on existing software. Autodesk’s business team may offer to conduct a license assessment to confirm a customer is properly licensing all of its software as part of the off......
1707
Understanding the Scope of a Software Audit
Software publishers regularly audit their customers to help ensure that the customers are properly licensing their software. Some software publishers conduct audits directly, but many choose to audit through companies such as the BSA| The Software Alliance (“BSA”), or ......
2705
Keeping It Confidential: Protecting Data Privacy, Attorney-Client and Work Product Privilege with the Rise of Videoconferencing
The shuttering of businesses in response to the Covid-19 outbreak forced many companies to unexpectedly and quickly migrate to a remote workforce in order to continue operations. Law firms and clients alike faced unprecedented challenges adapting to new work environments......
2004
Top Three Tips to Ensure Software Compliance
Companies facing copyright infringement claims from software publishers or their representatives have few options to navigate an audit and resolve the matter out of court. The costly nature of a software audit has prompted companies to take pre-emptive steps to avoid exp......
1304
A Software Settlement Is Not Complete Until All Obligations Are Met
The majority of copyright infringement claims against consumers using copyrighted software are resolved by settlement rather than litigation, for a multitude of reasons. In some instances, the settlement agreements contain post-settlement obligations that can affect the ......
0304
Understanding Software License Agreements to Avoid BSA or SIIA Software Audits
Recent trends indicate that software publishers are increasingly initiating direct software audits instead of outsourcing the auditing process to entities such as the BSA | The Software Alliance (“BSA”) or Software & Information Industry Association (“SIIA”).......
2703
Copyright and Software Licensing Implications for Remote Work Force During Covid-19
In the recent years, companies have slowly been incorporating more options for its employees to work remotely from home or elsewhere. However, the Covid-19 pandemic accelerated this transition and forced entire companies to work from home without time to prepare the pr......
2802
Autodesk Audits: Managing Independent Contractors
Autodesk, Inc. uses a variety of resources to identify potential audit targets. Many of these targets are small architecture or engineering firms that employ independent contractors in lieu of full time employees as CAD operators.
A typical Autodesk software audit let......
1912
How to Resolve an SIIA Audit Followed by a BSA Audit
Sometimes a company receives notices of audits from many publishers or trade associations at the same time. Often this is because multiple agencies have received confidential reports from the same informant. If a current or previous employee contacts both the Software &a......
0512
Treat Audit Demands Like A Litigation Hold Letter
Software publishers are regularly auditing customers to ensure compliance with license agreements, and may initiate audits directly, or through entities such as BSA|The Software Alliance, and the Software & Information Industry Association ("SIIA"). These entities se......
3110
Don’t Jeopardize Your Release of Liability! Complete post-settlement obligations
As software audits increasingly become a way for software publishers to increase revenue, it is more important than ever to ensure that after a company has invested effort into resolving an audit, the company does not jeopardize the value of the release of liability.
The ......
0910
Autodesk Targets Architects In Software Audits
Autodesk routinely conducts software audits to determine whether businesses have unlicensed copies of its software installed on their computers. Architecture firms typically represent a significant portion of the targets of such audits – many such firms are heavily relia......
0306
Autodesk Audits: How to Effectively Scan Your Network and Prepare Accurate Results
Conducting a self-audit while facing potential copyright infringement claims from Autodesk or any other software publisher often is complicated and time-consuming. Nevertheless, it is critical to choose an appropriate method to ensure the audit results are accurate.
A sel......
3004
Top Four Terms to Remember when Purchasing Autodesk Software
Software-license compliance can be a difficult task, and understanding the standard Autodesk Software License Agreement may present challenges. Here are four of the most important terms in that agreement to remember for compliance purposes:
1. License Terms Vary Regarding......
1203
BSA Software Audit Updates: Membership Changes and Impact on Audits
BSA| The Software Alliance (the “BSA”) is an organization that acts on behalf of software publishers to enforce copyrights. The membership of the organization may undergo changes, which can impact an existing software audit if a member leaves during the course of the a......
2802
Software Audits: Securing a Release of Liability with Settlement
Software auditing entities, such as the Business Software Alliance and Software & Information Industry Association, typically set forth a complex set of requirements for software audits that can be confusing, time-consuming, and expensive. Many businesses faced with soft......
1409
Top Tips for Responding to an Autodesk Audit
Autodesk routinely sends letters to businesses that it suspects may be using Autodesk software products without adequate licensing, both in order to confirm those suspicions as well as to address any license-compliance discrepancies. Typically under threat of a federal lawsu......
2505
Important Tips for Resolving an SIIA Audit During or Immediately After a BSA Audit
Sometimes a company receives notices of audits from many publishers or trade associations at the same time. Often this is because multiple agencies have received confidential reports from the same informant. If a current or previous employee contacts both the Software & ......
2403
Identifying and Understanding Microsoft License Verification Audits
Microsoft, like other software publishers, routinely audits customers to help ensure that it is protecting the value of its intellectual property. Microsoft verifies its customers’ compliance using several methods.
1. Microsoft License Verification (also, Software Asset Ma......
2902
How to Avoid Compliance Gaps with Autodesk Downgrade Rights
Autodesk, like many other software publishers, are now offering subscription based licenses instead of perpetual licenses. Customers tend to find the flexibility of subscription-based licensing appealing because those licenses allow for growth and changing work environments.......
2302
Microsoft Company Store Restricts Terms of Use, Leads to Licensing Confusion
Microsoft offers its employees an opportunity to buy discounted software if they agree to restrictive usage terms when purchasing from the Microsoft Company Store. In addition to the online Microsoft Company Store, employees may go to one of a few different physical location......
2302
Microsoft Certificates of Authenticity May Not Constitute Proof of Licensing
The Business Software Alliance (“BSA”) and Software Industry & Information Association (“SIIA”) work on behalf of their members (the lists of which include Microsoft (for the BSA), Adobe, and Autodesk, among others) to enforce copyrights and the terms of end user......
2302
Licensing Old Microsoft Products
Businesses seeking to license older versions of Microsoft products may encounter challenges acquiring valid licenses. This is a particular concern for some companies that utilize Microsoft products as the basis for their IT infrastructure and that want to avoid a costly mi......
2302
Microsoft Licensing Considerations
Generally when purchasing new software online, or upgrading existing software, a box pops up on the computer that says “Agree to Terms”. Most people simply check the appropriate box and click next without reading the fine print. This can be troublesome when the Busin......
1802
Software Audits: Surviving Settlement
Software auditing entities, such as the Business Software Alliance (“BSA”) and Software & Information Industry Association (“SIIA”), initiate software audits of businesses that more often than not result in a settlement agreed to and negotiated by both parties. I......
2311
Black Friday for Software Copyright Infringement Settlements
As the year comes to a close, many software publishers and trade associations with calendar year accounting are resolving as many outstanding software audits as possible. Companies currently engaged in a software audit may be able to negotiate favorable resolutions to their ......
0611
Proving Ownership of Underlying Licenses for Adobe Upgrades in Software Audits
Software publisher Adobe Systems Inc. actively investigates its existing customers to determine whether each customer has properly licensed Adobe software, or is committing copyright infringement. Adobe often pursues its customers directly, but sometimes grants a power of at......
1606
Autodesk Settlement Agreements: Beware Restrictive Superseding License Terms
A software audit typically resolves in one of three ways: a dismissal, a settlement, or litigation. The most common path to resolution is a settlement between the parties for potential copyright infringement stemming from allegedly unlicensed software. Software publishers so......