[AccessD] Source Code Escrow

Griffiths, Richard R.Griffiths at bury.gov.uk
Fri Sep 16 03:48:01 CDT 2005


Thanks for all your contributions. In my case the organisation is Local
Government - I don't expect them to exploit their
position, simply they are looking to a way of ensuring that if my
company went under they could still use and maintain the application.
The other thing I have come across is one org that offers escrow
services (www.componentsource.com) does not charge for the setup and
maintenance of the code - in addition a subscription is taken out by the
licensee per year for this service - and this is split between
componentsource and the software seller (me!) - seems like a reasonable
situation.

Richard

-----Original Message-----
From: accessd-bounces at databaseadvisors.com
[mailto:accessd-bounces at databaseadvisors.com] On Behalf Of Lembit Soobik
Sent: 15 September 2005 19:42
To: Access Developers discussion and problem solving
Subject: Re: [AccessD] Source Code Escrow


">
> One cheap alternative: write a contract that says, if certain 
> pre-conditions are met (bankruptcy, etc..), you will, for $1, release 
> the whole code base under the GPL (Gnu Public License), which would 
> have the effect of making it perpetually free software. This would 
> greatly encumber a larger company's ability to profit from it's 
> ill-gotten gains, because the code would be public domain. "
but this would not help in case the developers office burns down or the 
developer is run over by a truck.
I understand these are the main arguments for source code escrow.

Lembit

----- Original Message ----- 
From: "Ken Ismert" <KIsmert at texassystems.com>
To: "Access Developers discussion and problem solving" 
<accessd at databaseadvisors.com>
Sent: Thursday, September 15, 2005 8:16 PM
Subject: Re: [AccessD] Source Code Escrow


>
> One thought that struck me, upon reading the Escrow Associates 
> contract, is that this could put the developer at greater risk, 
> particularly if the developer is a small company, and the customer is 
> a large, powerful one. A large company, particularly if it is your 
> primary (or only) customer, could force you into bankruptcy and take 
> your code, if they wanted it badly enough.
>
> This isn't just paranoia: the author of the Pick OS/Database system 
> was in this position with his first (and only at the time) customer, a

> large defense contractor. The company simply decided to stop paying 
> him, with the intent of forcing him into insolvency and taking his 
> product. Fortunately, he put a time-based activation code into Pick 
> that they didn't know about, so in several months it stopped working, 
> and they had to come back to him, hat in hand, asking for it to be 
> turned back on.
>
> Now, imagine if this company had had a code escrow agreement. They 
> could have simply waited him out, enduring the downtime, and walked 
> away with the source at the end.
>
> Depending on who you are supplying software to under an escrow 
> agreement, this might be a concern of yours.
>
> One cheap alternative: write a contract that says, if certain 
> pre-conditions are met (bankruptcy, etc..), you will, for $1, release 
> the whole code base under the GPL (Gnu Public License), which would 
> have the effect of making it perpetually free software. This would 
> greatly encumber a larger company's ability to profit from it's 
> ill-gotten gains, because the code would be public domain.
>
> Just a contrarian viewpoint.
>
> -Ken
>
>
>>> Here are some downloadable Escrow agreements American, British or
> Canadian
>>> http://www.escrowassociates.com/agreements.htm
>>> Software escrow FAQ
>>> http://www.softescrow.com/faq.html#16.0
> --
> AccessD mailing list
> AccessD at databaseadvisors.com
> http://databaseadvisors.com/mailman/listinfo/accessd
> Website: http://www.databaseadvisors.com 

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