Important Things You Should Know About Software Escrow Services
Escrow basically means a contract that deals with protection between parties who deposit something of high value to a third party being the agent. It may involve money, intellectual property, or it could be documents. The agent may hold such valuables until a certain condition. So with that in mind, a software is said to be in escrow if a third party, or escrow agent, is holding the source code of the software. The ones who will be requesting the agent hold it is the licensee or the company of the software. The main benefit of having software escrow services is to protect the licensee of the software making sure that they will still gain access to the source code even if something goes wrong.
It is the programmer who writes a source code in order to create a particular program. Some programs are made with a source code that is transferable to executable programs (such as files with extensions ending in “.exe”), so that users can simply use the program application just by simply installing them to their computers. Anyone who is knowledgeable or those who have the experience about such executable source code will then be able to create applications by their own. When bankruptcy is filed by the company who developed the software, or if they were not able to deliver the updates and even maintenance of the software that they have actually promised, then escrow agents are expected to release the source code of the software to the licensee so that they will be able to work with it.
You should also know for a fact that there have been issues of deceptions for this. Ones that would involve a great deal of money. If you use an escrow agreement, the one who purchased it will certainly have some form of protection that is effective as far as software and source code are involved. Given the fact that the costs involved in developing software these days are quite high, an escrow agent will be the best thing for you to gain some protection.
The best thing about escrow is that the software developer will be able to protect himself against fraud. Developing software programs could not only take you months or years but a huge amount of money as well. The licensee and the licencor will have to be in agreement which will be set up by the software escrow agent in order to make both parties understand what they are to expect. The escrow agent will have to take appropriate action whenever the terms of condition are not met which has already been decided in the escrow agreement. Here are the services you can avail from software escrow: software escrow, technology escrow, and source code escrow services whichever would match your business needs.