Support in Self-Disclosures and Audits

Software, after all, is designed to produce a twofold effect: it helps users with their business and brings profit to its producers. By accepting the terms of use ( EULA ), end users gain the right to use the respective software. Presumably, most people have experience of installing something without reading the terms of use in detail. In most cases, however, this agreement comes along with extensive responsibilities. The software users automatically grant producers like Microsoft the right to request a software self-disclosure at any time. The disclosure includes information about all corresponding products installed in the customer's network. In cases of suspected under-licensing, and if the end user doesn't cooperate as expected, Microsoft has grounds to judicially prohibit the usage. Typically, this would instantly ruin a company. You are obligated to fulfill all requests and disclosures. In court, end users have bad prospects because the legal situation is absolutely clear.

It's also no good referring to possible miscounseling of former service providers. In the case of a clash, from a legal point of view, nobody is interested at all. It's almost hopeless trying to hold the former license vendors liable. In most cases, the purpose of the licenses ordered and the ways in which they will be used are completely undocumented.


You may have thought it was a clear situation: "End users benefit from software, therefore they have to pay for it." And you’re probably convinced this is true... However, this would only be 100% right if licensors hadn’t included certain traps in their policies. Whether these traps have been included by chance or on purpose doesn't matter. They harm end users.
In most cases companies are busy with wealth creation. There's no time to take care of the constantly changing policies of the licensors. Least of all, companies cannot question the competence of their service provides, or change productive environments simply to adhere to new policies. This is the reason why companies increasingly find themselves in the dodgy grey area of insecurity. Considering their weakened position, companies tend to accept every compromise and agree to everything just to avoid any trouble with the licensors.

Gold mine

Inadequately licensed companies are actually real gold mines for software producers. Whenever the quarterly figures seem to be too low, producers systematically request self-audits and disclosures from large numbers of customers. Usually, this method produces great increases in license purchases automatically, but also the business of resellers and adhering contract partners is accelerated significantly:
It's a license to print money. Newly purchased licenses will replace falsely applied ones which will be wasted as senseless company assets. It’s ironic: all profiteers of this system claim they want to support you; but, after all, nobody helps you.

To escape from the quandary of insecurity, we recommend setting up an active License Management to every company. We also recommend having a close look at the competence and motivation of the license vendors. On license purchases you should write down the purpose and application of each license and have it confirmed by the vendor. You need to know the legal situation and take the proper precautions. If you receive the request for a self-audit with disclosure, you don't need to act from a weak position.

Self-disclosure... What now?

Due to our close ties with Lan-Inspector customers, we got a taste of the previously described processes.

Let's make it clear again: it's a fact that end users have to pay for the benefit of using products. Nevertheless, it's worth avoiding running into a trap when it comes to licensing mistakes. We support you by viewing your current licensing situation factually. Our background knowledge about the licensors' motives and practices can help you to develop a strategy on how to deal with them. Clever moves can result in significant limitation of costs.

Individual Strategy for:
  1. Communicating with the licensors
  2. Analysis of possible license miscounseling
  3. Internal limitation of defect
  4. Restructuring the use of software products
  5. Setting up an own License Management
  6. Mediating with license vendors (free of commission)

We gladly advise you even if you're not using Lan-Inspector. VisLogic doesn't re-sell licenses of other producers. Therefore we are your independent consultant regarding self-audits and self-disclosures. Please contact us on this subject.

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