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ARTICLE · 24 JANUARY 2017

Avoid Overpaying For Software Settlements

Most software audits initiated by the software publisher or a third party entity authorized to pursue copyright infringement claims on behalf of the software publishers are resolved outside of a courtroom.

United StatesMedia, Telecoms, IT, Entertainment

Most software audits initiated by the software publisher or a third party entity authorized to pursue copyright infringement claims on behalf of the software publishers, such as the BSA| The Software Alliance ("BSA") or the Software & Industry Information Association ("SIIA"), are resolved outside of a courtroom. Many of the settlements require payment of a monetary penalty as part of the resolution.

There are many factors that precede the negotiation stage and affect the total payment. Once a company decides to participate in the audit and submits audit results, the BSA or SIIA identify any gaps in software licensing, according to the auditing entity's rules. These gaps may range from a deficiency of licenses to acquiring the incorrect license for the software installed. Once the auditing entity determines the number of gaps, it calculates a total settlement based on the information presented.

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