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Thinking of ... Taking a Licence of Software?

These are some of the important issues we would advise are considered when taking a licence of software.

• Are you acquiring a licence which meets your needs and which avoids the need for unexpected further payments or a repurchase on, for example, a change of control of your organisation or a sale of your business?
• Is the installation project to be carefully managed to avoid unnecessary delay and cost - have any representations been made to you as to compatibility with existing hardware, time, cost and disruption upon which you are relying? Do you have a right to compensation if these representations are inaccurate?
• Are costs clearly stated or at the least capped or subject to your approval before they are incurred? Will you be liable to make payment only on achievement of pre-agreed "milestones"?
• Do you have a reasonable time within which to test the software before accepting it or more importantly paying for it and do you have an acceptable "warranty" period after acceptance during which faults/errors will be corrected free of charge?
• Are you obtaining sufficient support - in terms of expertise, resources and in particular "manpower" - to ensure the software is adequately supported throughout its proposed life-cycle?
• Are you to receive updates and/or new versions of the software and if so at what cost and at your option?
• Are you adequately protected if the software provider cannot for any reason provide you with the support you need? Are you free to go elsewhere and do you have the technical knowledge/data available to you which will enable a third party to provide the necessary support?
• Have you seen the software in action elsewhere? Have you considered taking up references volunteered by the software provider?

For further advice on licensing software contact any of our team.

 

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