From: Bradfield on
What is the status of licences to use software that has changed owners?

Eg. If I enter into an agreement with company XYZ to use a software product
for which I pay a one off $1000 fee, what happens if Microsoft buys the
rights to that product? Could Microsoft start charging me $1000 a year for
using it?



From: Epsilon on
Bradfield wrote:
> What is the status of licences to use software that has changed
> owners?
> Eg. If I enter into an agreement with company XYZ to use a software
> product for which I pay a one off $1000 fee, what happens if
> Microsoft buys the rights to that product? Could Microsoft start
> charging me $1000 a year for using it?

You will understand that this is hypothetical in that you have given no
information about who the parties are, where they are, the terms of the
licence, and what law applied to the agreement.

Subject to those qualifications, the general rule is that where you buy a
licence to use a software product forever, and the corporation that sold you
the licence sells the software product to a second corporation, you still
retain your rights under the licence. The second corporation buys the
software product subject to any licences already given, because the selling
corporation usually gives the buying corporation everything it owns
concerning the software product, but cannot give more than it owns.

The theoretical answer is so obvious that anyone reading your question would
wonder about your concern.

From: Rod Speed on
Bradfield wrote:

> What is the status of licences to use software that has changed owners?

There is no 'license' whatever the floggers of the software claim.

The new owner is welcome to use the software.

The previous owner is not legally allowed to keep using the software.

> Eg. If I enter into an agreement with company XYZ to use a software product for which I pay a one off $1000 fee,

Hardly anyone does that. They just buy a retail product.

> what happens if Microsoft buys the rights to that product? Could Microsoft start charging me $1000 a year for using
> it?

Not legally, no. Your agreement was not with Microsoft.



From: Bradfield on

"Epsilon" <not(a)this.address.com> wrote in message
news:hl04e0$khl$1(a)news.albasani.net...
> Bradfield wrote:
>> What is the status of licences to use software that has changed
>> owners?
>> Eg. If I enter into an agreement with company XYZ to use a software
>> product for which I pay a one off $1000 fee, what happens if
>> Microsoft buys the rights to that product? Could Microsoft start
>> charging me $1000 a year for using it?
>
> You will understand that this is hypothetical in that you have given no
> information about who the parties are, where they are, the terms of the
> licence, and what law applied to the agreement.
>

I do understand the question is hypothetical in nature.

> Subject to those qualifications, the general rule is that where you buy a
> licence to use a software product forever, and the corporation that sold
> you the licence sells the software product to a second corporation, you
> still retain your rights under the licence. The second corporation buys
> the software product subject to any licences already given, because the
> selling corporation usually gives the buying corporation everything it
> owns concerning the software product, but cannot give more than it owns.
>

So if I was paying XYZ $1000 per year, could Microsoft demand the same from
me?


> The theoretical answer is so obvious that anyone reading your question
> would wonder about your concern.


From: Epsilon on


Bradfield wrote:
> "Epsilon" <not(a)this.address.com> wrote in message
> news:hl04e0$khl$1(a)news.albasani.net...
>> Bradfield wrote:
>>> What is the status of licences to use software that has changed
>>> owners?
>>> Eg. If I enter into an agreement with company XYZ to use a software
>>> product for which I pay a one off $1000 fee, what happens if
>>> Microsoft buys the rights to that product? Could Microsoft start
>>> charging me $1000 a year for using it?
>>
>> You will understand that this is hypothetical in that you have given
>> no information about who the parties are, where they are, the terms
>> of the licence, and what law applied to the agreement.
>>
>
> I do understand the question is hypothetical in nature.
>
>> Subject to those qualifications, the general rule is that where you
>> buy a licence to use a software product forever, and the corporation
>> that sold you the licence sells the software product to a second
>> corporation, you still retain your rights under the licence. The
>> second corporation buys the software product subject to any licences
>> already given, because the selling corporation usually gives the
>> buying corporation everything it owns concerning the software
>> product, but cannot give more than it owns.
>
> So if I was paying XYZ $1000 per year, could Microsoft demand the
> same from me?

You first said that you paid a $1,000 on-off fee. Now it's a $1,000 pa fee.
In that case, since the second corporation has presumably bought everything
the first corporation owned concerning the software product (see above),
including the right to that annual fee, what has occurred is that you now
pay the second corporation the amount you were previously obliged to pay to
the first corporation.

It's similar to your landlord selling the rented property to a second
landlord. You as tenant stop paying the first landlord and start paying the
second landlord.

If you had agreed to pay XYZ the $1,000 pa, what is your concern about now
paying Microsoft?

>> The theoretical answer is so obvious that anyone reading your
>> question would wonder about your concern.