The advantages of software escrow services.
The term escrow means a contract between two or more parties who keep a valuable to a third party who acts as an agent. Among the things that can be stored by the escrow are money, documents or properties. The the third party is used to hold the valuable under various conditions. This is kind of a protection offered to the licensee of the software so that they can be able to access the security code once something goes wrong. Most of the programmes can create a program where they can write a security code in it. Some of the programs that are created have a source code that can be transferred into programs that executable. The executable programs can just be installed for your own use.
People with knowledge and experience about the executable programs can source the security code and create the application for themselves. If the software developer is not paid by paid by the company they created the software for they can file for a bankruptcy and the escrow agent can release the software source code to the licensee so that they can work with them.
It is important that parties that sign the escrows understand that there are necessities that must be met. The software escrow service offers custom software to different companies which are very vital and critical to the company itself. The software escrow have to continue the maintenance even if the licensor is not in a position to do so because of bankruptcy. You can do this using the easiest way which is to ask for an updated copy of the source code. The licensor is always reluctant to agree because the source code is a representative of a trade secret that is guarded closely.
Software escrow can be used for other serious issues apart from deception. The serious issues may involve a huge amount of money. The agency enables the purchaser to have some protection and the protection is more efficient when the source codes are used. Using the software escrows the system developer can be protected from fraud. The development process is very tricky because it takes months, days and even years and they a lot that a long time to be completed. To let the two parties know what is expected of them, the software escrow agent can set up an agreement with the licensor and the licensee. The escrow agency have the right to take action as agreed in the in the agreement signed if either of the parties does not fulfill the agreement. Before you sign the agreement it is important that you read the agreement carefully before signing it.
Attributed by: More about the author