Can a software licensee allow its attorney to use the software
for business purposes for the benefit of the licensee? A recent
decision by the Court of Appeals for the Fifth Circuit says no.
Compliance Source Inc. v. GreenPoint Mortgage Funding
Inc., No. 09-10726 (5th Cir. October 18, 2010) holds that a
court cannot look past the actual language of a licensing agreement
and absolve a licensee who grants third-party access to use the
licensed software merely because that use is on behalf of, or
inures to the benefit of, the licensee. The case serves as a
cautionary reminder that software licenses may be read strictly to
protect against any unauthorized use.
As is common in many software licensing agreements, the
agreement at issue here provided that the licensee did not have the
right to "copy, make, use, have made, sell, support, or
sub-license" the licensed technology except as specifically
provided therein. The licensee granted its attorney access to the
licensed