We have written a lot in the time since our June 1, 2020, launch of Beeman & Muchmore, LLP, and we’re pleased to share news of our first print publication! We recently wrote a very timely article for the July/August issue of The Patent Lawyer Magazine titled “Covid-19, Software License Audits and Patent Litigation” where we discuss how the fallout from the Covid-19 pandemic will most certainly bring out the software license audit opportunists.
Software License Audits and Covid-19.
Sadly, Covid-19 will be around for the foreseeable future and will continue to dictate how companies operate. With that, remote access and the resulting software licensing issues will indefinitely continue to be on the radar of software license vendors. Companies will need to be proactive to stay ahead of the impending software license audits that are sure to come.
Additionally, with the global shutdown continuing to take its toll on the economy, there is all the more reason for software license vendors to seek out ways to generate revenue. Software license audits are relatively cheap to initiate and a relatively low-risk undertaking (especially compared to patent litigation). Every company should be analyzing their operational systems and taking steps to ensure software licensing compliance in order to avoid the dreaded software license audit.
The Main Points to Consider During & After Covid-19:
- No one is immune from attack.
- Patent holders are emboldened, and their new patents are more robust.
- Plummeting billable work will encourage law firms to take on contingent matters.
- The pandemic presents software vendors with a readily available pretext for initiating audits.
- Software license audits are cheap.
- Counsel should review purchase agreements for indemnification and consider insurance that covers patent litigation.
- Monitor your software usage carefully (and consider SAM).