Information on Software Escrow Services
A software escrow services is a source code software deposit which includes a third party escrow agent.
Basic escrow is requested by the licensee who in this case is the one in charge of the maintenance of the software.
Failure of the licensor to update or maintain the software as formally agreed upon either because of bankruptcy or any other reason, then the licensee will be give the source code of the software.
Escrow has necessities that need to be met, and the parties who are licensed to have this should understand this. Custom software is offered to different companies by software escrow services which are very critical and vital to the company itself.
Whether the licensor is in a position to do so or not due to bankruptcy or other issues, operations and maintenance of company software shall continue.
Doing this is possible if you get the updated copy of the source code. However, licensors are often reluctant to agree to this because the source code represents a trade secret and generally as you may expect, this is closely guarded.
Software escrow services then have a solution which will do away with this conflict of interest, where the source code escrow will assure that the licensed person can get his access to the source code when it has been established that the maintenance of the software cannot be assured as it was stated in the contract agreement which has been agreed upon by the two parties.
What you can benefit from a software escrow services is free software.
If you are going to sign an agreement contract with a software licensor make sure you know what the terms and conditions are by reading everything carefully which is easy as they are written in black and white.
There is a good description in the escrow agreement which applies to clients who seek to develop custom software and that which is not available to the general public.
This software was developed specifically for you and design to fit to your liking and your office operations. When there is free software it is called open source of ransom ware.
Many companies adopt a software escrow process because of its benefits. With the escrow agent, there is an incentive for the licensee in investing in the source code. Meanwhile developers of the software are able to provide services without exposing their secret and intellectual property.
Licensees can certify software evolution and maintain and upgrade functionalities over time with the optional services provided by the escrow agent. The licensee then has the ability to maintain an application in-house indefinitely or it gives him the luxury of taking his time until a replacement technology can be identified and implemented with a new vendor.