201708.30
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11 Secrets to Defending BSA | The Software Alliance Audits

Don’t be in the dark on how to prepare and respond to software audits. An increasing number of companies face software audits initiated by software publishers and their trade associations, such as BSA | The Software Alliance and the Software & Information Industry Association. Most companies are totally unprepared; many underestimate their exposure and are…

201708.30
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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 technical and licensing issues. Failure to properly license the environment risks subjecting the company to unbudgeted…

201708.16
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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. Microsoft License Verification (also, Software Asset Management “SAM” request). In a SAM request, Microsoft assigns a third party to reach out to a customer to confirm…

201708.15
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Is Flexera’s Initiative with Microsoft a Silver Bullet for Software Audits?

Microsoft and Flexera recently announced a joint initiative that the two companies have touted as a way to transform “the software supply chain” through the use of a standard set of software asset management (SAM) solutions. By deploying Flexera’s FlexNetManager Suite with Microsoft’s Intelligent Asset Manager, the goal is to create an “agreed upon ELP…

201707.28
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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, confidentiality, warranties and representations, monetary sums to be paid, and in cases of software, future auditing rights. Third-party…

201707.26
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Negotiating Technology Contracts: On-premise vs. Cloud and Hosted Software

More and more businesses are considering accessing hosted software rather than purchasing on-premise software.  They are also placing data in third-party public or private clouds instead of selecting on-premise software.  This article will explain the key considerations and contractual provisions when deciding to utilize a hosted software cloud solution versus on-premise software solutions. KEY CONSIDERATIONS…

201706.20
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Copyright Infringement Defense: Know When to Consult an Expert

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 manage the audit effectively from the outset.  Some companies do not respond to the…

201705.03
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Negotiating Technology Contracts – Insurance Requirements

One of the most overlooked sections in a technology-related contract is the insurance section. Whether that contract involves IT services, development, Software as a Service or Cloud Services, the insurance section is just as important as the other risk-allocating provisions contained in the contract. Yet, in most of the contracts in the industry, the original…

201704.25
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Negotiating Contracts: 12 Key Terms to Negotiate in a Software as a Service or Cloud Service Agreement

Software as a Service and Cloud Service offerings have become ubiquitous digital platforms for many enterprises and small businesses in their quests to provide a single unified platform to their employees and customers. Providers offering Software as a Service and Cloud Services allow end users to access software and infrastructure remotely from any location and…

201704.10
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How to Contend with Oracle’s Many Licensing Policies

It is common practice for software publishers to incorporate by reference various licensing rules and policies to govern the usage of the publishers’ software products. For example, Microsoft’s volume license agreements (such as MPSAs or Enterprise Agreements) incorporate Microsoft’s Product Terms, Online Services Terms and Service Level Agreement for Online Services (among other documents), with…

201704.06
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Software Piracy

Software piracy audits conducted by the BSA and the SIIA threaten small and medium sized businesses. As the economy tightens, software publishers such as Microsoft, Adobe, and Autodesk hide behind software piracy enforcement groups to pursue customers accused of installing more software on corporate computers than they have purchased licenses for. If your company has…

201703.22
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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 significant factor to consider in any M&A transaction. The following are a few key considerations to negotiate during…

201703.15
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Oracle Licensing: Hard Partitioning and Disaster Recovery

When licensing Oracle products, many businesses fail to understand the licensing requirements for virtual technologies and disaster recovery.  These licensing mistakes can result in significant unbudgeted expenses related to Oracle software licensing. (1) Virtualization Virtualized hardware is now fairly pervasive in the IT world. But, incorrectly virtualizing an environment can have catastrophic effects to a…

201703.14
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Oracle Audit Risks

Oracle maintains what I consider to be the most aggressive audit program of any major software publisher. Its licensing rules can be extremely difficult to understand, and they frequently are not clearly stated in the applicable license agreements. Moreover, Oracle’s License Management Services (LMS) team typically is unforgiving when it comes time to apply those…