Important Information about Software Escrow
One of the most popular and the most useful technologies of all time, is the computer, which is a device that can be instructed by the user to carry out set of logical and arithmetic operations in an automatic manner. A computer device is classified into two basic parts, such as the software which encompasses the parts of the computer that does not have any physical or material form and examples for this includes programs, encoded information or computer instructions, libraries, data and protocols; and the hardware which is the part of the device that have physical or material forms, and examples for this includes memory or RAM, motherboard, displays, cables, keyboards, printers, mouse, power supplies, circuits, computer chips, graphic cards, and sound cards. A source code is basically, an example of a software, and it is defined as any collection of computer instruction written with the use of a human-readable language of programming or ordinary text which can be interpreted only by the people who have the knowledge in programming and software development.
A lot of software developer companies are making use of the source code in order to operate and the maintain their products and custom software, however, it can be very critical to them, especially when the licensor or their partners becomes unable to do so, which can be due to various reasons like bankruptcy, merger, obsolescence and acquisition. Each and every business owners of software developer companies have the common desire of ensuring that the software products that they have created for their customers will still continue to operate and that can only be achieved by having a copy of the recent and up-to-date source code of the product, and the solution for this is through the use of a source code agreement contracts. Source code escrow is also called as software escrow, and it is a way of lightening or mitigating any risk to happen when two or more parties negotiate for the license of the software application, and once these developer companies will create their contract of software escrow, the source code will be placed in a secured account handled by a trusted escrow agent, who acts as the third party. The agreements of source code escrow includes specifying the conditions that must be met by the agent to release and give the source code to the licensee; obliging the licensor to place or put updated or the recent versions of the software in escrow in specific period of time; specifying the scope and the subject of escrow; circumscribing the rights obtained by the licensee with respect to the source code after the software is released; providing the fees of the escrow agent for his efficient services; providing non-compete clauses in the agreement of license; and specifying the services provided by the escrow agent. The business companies who wants to learn more about software escrow and wants to find the best escrow agent, can do so through the use of the internet and from the word of mouth of lawyers, colleagues and families.