201904.24
1

For SPLA Audits, When Historical Data is Missing, Creativity May Be Required

Most software audits pertaining to products licensed under perpetual licenses (such as licenses acquired under a Microsoft Select Agreement, MPSA or (usually) Enterprise Agreement) incorporate a snapshot-in-time approach, where licenses owned generally are compared to deployments identified through data collected about current-state product deployments. In contrast, audits pertaining to products licensed under a Microsoft Services…

201904.18
0

Preparing for the Inevitable SPLA Audit

If your company uses a Microsoft Service Provider License Agreement (SPLA)—and it probably does if Microsoft considers you to be in the commercial hosting business—you will be audited at some point. Typically, Microsoft SPLA customers are audited once every three years. When that time comes, it is important to know how your company may be…

201904.11
0

Top Three Ways to Sabotage Your Licensing Compliance Under SPLA

Microsoft’s Services Provider License Agreement (SPLA) is the principal licensing agreement for companies that want to use Microsoft products to deliver hosted software solutions over the Internet. Microsoft’s standard volume license agreements expressly prohibit using the software for “commercial hosting” purposes (though, limited exceptions are offered for certain use cases and subject to specific requirements)….

201903.20
0

Do You Need a Microsoft Service Provider License (SPLA)?

If your business model involves hosting applications, websites or data, chances are that Microsoft will require you to obtain and follow a SPLA. Businesses that use Microsoft software for internal use only, or where third-party access is anonymous or unauthenticated, do not need a SPLA. With limited exceptions, Microsoft does require customers engaged in commercial…

201807.28
0

What is a Microsoft SPLA Verified Self-Audit?

If you provide commercial hosting services using Microsoft’s Service Provider License Agreement (SPLA), you may become a target of an ever-increasing variety of license audits from Microsoft and its vendors.  The latest flavor of a Microsoft SPLA audit is the verified self-assessment or VSA.  The SPLA verified self-assessment differs from both the independent audit and…

201806.20
1

What You Need to Know if You Receive a Letter from BSA | The Software Alliance

Preparing the BSA Audit Materials BSA | The Software Alliance’s primary enforcement tool is to send a threatening letter indicating that an investigation has commenced and offering to forego litigation if the target company provides a self-audit. A self-audit consists of a listing of all BSA member software running on a company’s computer networks, appropriate…

201804.03
0

BSA Audit Timeline

One of the top ten questions asked by my clients is “How long does the BSA self-audit process take from start to finish?” Of course I give the standard lawyer answer: it depends. Here are the steps to a typical BSA audit. Preparation of Audit Materials (3 to 6 months) A BSA audit is a…

201803.10
0

To SAM or Not to SAM? The Differences Between a Microsoft SAM Engagement and an Audit

In recent years, Microsoft seems to have been shifting an increasing volume of its license-compliance resources toward what it calls Software Asset Management (SAM) reviews. These “optional” engagements typically are proposed by Microsoft personnel with whom a company has not had any prior interactions, and the company often receives no advance warning or introductions from…

201802.16
0

In Microsoft Audits, Don’t Forget About True-Up Rights

Following the conclusion of a software audit, Microsoft’s standard practice is to require an audited company to purchase licenses associated with calculated “unlicensed use” within a set period of time (typically, 30 days) following receipt of Microsoft’s settlement demand. However, it is important for companies with Enterprise Agreements to keep in mind the fact that…

201801.15
0

What I Learned in the Last 10 Years Defending BSA | The Software Alliance Audits

I am an intellectual property attorney in Southlake, Texas who has handled more than 230 Business Software Alliance audit matters for small to medium-sized companies. For the last ten years, I have been representing end-user companies nationally in software audit matters initiated by major software publishers including Microsoft, Adobe, Autodesk, IBM and their trade groups…