Issue link: http://read.uberflip.com/i/8885
SOFTWARE-RELATED AGREEMENTS: WHAT THEY ALL HAVE IN COMMON • OEM: An abbreviation for Original Equipment Manufacturer. The software license is bundled with the equipment for which it was purchased and may not be transferred to other equipment. • Volume: Software is licensed for installation on a certain number of computers. There is usually a minimum purchase requirement in exchange for discounted pricing. • Shareware: Software that is distributed and paid for by an honor system, usually with the understanding that those who use it regularly will pay a small fee. Shareware is copyrighted and cannot be resold by the licensee. • Freeware: Software that is given away without charge. Freeware is typically copyrighted, cannot be resold by the user, and is licensed for use only in ways expressly allowed by the author. • Public Domain or Open Source: Software that is free, not copyrighted, and can be used without restrictions. • Perpetual: A perpetual license allows the right to use the software in perpetuity, for as long as the user continues to comply with the license agreement. • Developer License: Allows unlimited use of the software for purposes of testing and development, but not for production. • Unusual Non-Standard Licenses: Some software vendors license their products in ways that are not relevant to the actual use of the software and www.iltanet.org Best Practices in Licensing Agreements 9 that can be very difficult to administer and comply with. For example, there are some Microsoft Office add-ons used by a limited number of firm employees, but the purchaser is required to buy licenses based on the number of litigators in the firm or by the number of licenses the firm owns for some other product. When evaluating software, these licensing methods may be a deterrent to purchase. LICENSE-RELATED TERMINOLOGY: • Patch: Usually refers to a fix for a problem with the software. • Update: Usually refers to a minor improvement to the software, such as a “point release” (e.g., an update from version 7.1 to version 7.2). • Upgrade: Usually refers to a major improvement to, or a new version of, the software (e.g., an upgrade from version 7 to version 8). • Home Use Option: Some license agreements include a home use option, which allows a copy of software purchased for a business to be installed and used on the user’s home PC, as long as both copies aren’t used simultaneously. • Downgrade Rights: Having a license for the current version of the software allows one to use an earlier version. ILTA