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Software escrow can be a valuable tool for software licensing, but it also comes with some costs and fees that both parties should consider before signing an agreement.
At its most basic definition, a software escrow agreement is a contract between a software supplier and their client. It is made so that the client is guaranteed access to the software source code under some specific conditions, including bankruptcy or insolvency of the supplier and software maintenance issues.
Typically, the software developer will pay for the software escrow, although this point is often negotiable between the parties.
At its most basic definition, a software escrow agreement is a contract between a software supplier and their client. It is made so that the client is guaranteed access to the software source code under some specific conditions, including bankruptcy or insolvency of the supplier and software maintenance issues.
The objective of a software escrow agreement is to provide comfort to the end user that if the software developer is unable or unwilling to support the software, the code, data and other critical materials can be released to them.
Software Escrow Agreement Benefits A Software Escrow Agreement protects your investment by guaranteeing the long-term availability of third-party software and data while preserving the developer's Intellectual Property Rights (IPR).