What to do when your business receives a letter from the BSA

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WHAT TO DO WHEN YOUR COMPANY RECEIVES A SOFTWARE AUDIT DEMAND LETTER FROM THE BUSINESS SOFTWARE ALLIANCE ("BSA")

Software infringement cases appear to be on the rise. Companies like Microsoft, Hexagon, Solidworks, and Autodesk have always been active in enforcing their EULA licenses, and the Business Software Alliance ("BSA") works as an industry trade group to protect software and IP rights for many different companies that are members of its organization.

When dealing with the BSA, many times, the employer is BUSTED OUT by an internal "informant" that could be in line to receive a "reward" (a percentage of the recovery when the case is settled).

These audits can also be triggered when two companies merge. The failure to perform software "due diligence" can also trigger someone (perhaps a disgruntled CEO, CIO, CFO, COO, or CTO that is being downsized in the merger and has an ax to grind) to report one of the companies leading to an audit demand letter. There are many different scenarios that can arise, triggering an audit demand.

In this video, Attorney Steve Vondran, copyright lawyer, discusses some of the basic steps we take when we are working on a software audit or piracy case with the BSA (note: practices can vary depending on the case):

1. Don't panic (we have helped hundreds of small, medium and large business navigate the case to a confidential settlement and full closure)

2. Talk to your lawyers (before you run-around the office telling everyone you are under audit)

3. Weigh your potential exposure (we can discuss potential liabilities)

4. Examine potential defenses and mitigating factors (ex.your company has many licenses, but this slipped through the cracks).

5. Obtain a confidentiality agreement under rule 408

6. Decision to audit (or not). The BSA is not a government agency, and is not law enforcement.

7. Submit audit results in confidence

8. Negotiate a settlement with favorable terms (privacy. confidentiality, no future audits, no software code of ethics, etc.)

9. Close out the case with confidentiality

If you need any help defending your company, we have helped companies large and small from various cities across the United States (the cases are brought as copyright infringement matters), from New York, to Texas, California, and many other states.

KEY SOFTWARE AUDIT VIDEOS BY ATTORNEY STEVE®

1. Copyright infringement damages explained: https://youtu.be/LJxTTcDuhzs

2. More information on BSA audits: https://youtu.be/q7aWxgM2Fq0

3. Common terms in a software piracy settlement agreement: https://www.vondranlegal.com/sample-software-settlements-by-vondran-legal

4. Common defenses and mitigating factors in software cases: https://youtu.be/_VwRmHz66Bg

5. Microsoft "unbundling" damages explained: https://youtu.be/7MYj_K_JGCI

6. What can happen if you ignore a BSA demand letter: https://youtu.be/TTeiWp4X_UQ

7. Officer and director liability in software litigation: https://youtu.be/H-prdK0h7bc

KEYWORDS

#SoftwareLicensingAttorney
#SoftwareLicensingLawyer
#SoftwareAuditLawyer
#AutodeskLawyer
#SoftwareLicensing
#bsaletter

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