During the initial setup of a software escrow key aspects of the agreement need to be discussed and agreed upon. When should the escrow materials be released? What can the licensee do with the escrow materials once they are released? How often will the materials be updated? What testing should be conducted on the materials?
After the software escrow is setup, the escrow materials should be promptly delivered to EscrowTech India. These materials should contain, but are not limited to: source code, documentation and any other important materials required to get the software running in the event of a release. Here is our suggested list of escrow materials.
EscrowTech India makes the submission process easy with submission methods such as escrow synchronization, automated submission scripts via sftp, manual online submission and manual offline submission.
Once EscrowTech India has recieved the source code and other materials, we will store it safely in our secure escrow vaults awaiting a mutually agreed upon release condition to occur. These release conditions are often bankruptcy or failure to maintain the software.
As new versions of the software are developed corresponding updates to the escrow occur.
EscrowTech India can automate this process which keeps the escrow updated without requiring excessive time from the software owner’s team.
A release condition such as the software vendor’s bankruptcy has occured and now the licensee needs the source code to continue using the critical peice of software.
EscrowTech India will promptly release the materials to the licensee following the terms agreed upon in the escrow agreement.
If a software license terminates without a release condition occurring then the materials can either be returned to the software vendor or destroyed depending on the software vendor’s wishes.
When negotiating a software license at one point a prudent licensee will ask, “What happens if the software vendor goes out of business?” What usually follows is a request to access the source code and any other critical materials used to maintain the software.
From the software vendor’s perspective, giving the licensee access to the source code and other confidential materials is a risk to its business. How does the software vendor know the licensee will keep the source code safe and secret and will not prematurely use it? What if dozens of licensees demand the source code?
From the licensee’s perspective, not having access to the source code and other materials needed to maintain and update the software is a risk to its business. How will the licensee continue to use and maintain software, it heavily depends on, if the software vendor goes out of business, fails to meet its obligations or any other number of unforeseen events?
For nearly 12+ Years Escrow Tech has helped hundreds of customers all over the country with their software escrow needs.
When our standard agreements don’t fit your unique situation, our in-house counsel can work with your attorney to customize them.
For nearly 12+ Years EscrowTech India has securely stored materials in our escrow vault.
Predictable, fair and no unpleasant surprises.