Disabling devices in on-premise software

Produced in partnership with Robin Fry of Memery Crystal and Martyna Polak of Memery Crystal
Practice notes

Disabling devices in on-premise software

Produced in partnership with Robin Fry of Memery Crystal and Martyna Polak of Memery Crystal

Practice notes
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This Practice Note discusses the use of non-contractual devices by software suppliers to stop or prevent the use of on-premise software in business-to-business licences, the consequential legal issues, and the practical implications for the drafting of relevant software licences. It introduces time bombs, logic bombs, back-door/trap-door, fork locks, remote control and turning off, or ‘deprovisioning’.

If a customer fails to comply with the licence terms, or to pay licence or support fees, the relevant software supplier will have a right to bring legal proceedings. But litigation carries cost and risk, as well as consequences for the relationship between customer and supplier. The supplier may therefore be attracted to a very direct practical option: the use of disabling devices, to prevent the software running, that can be remotely or automatically triggered by the supplier.

For most software developers, these devices are easy to code and install. Triggering (or threatening to trigger) such devices may give the supplier a very powerful hold over customers, particularly those for whom the software might

Robin Fry
Robin Fry

Robin is a copyright specialist and formerly Head of Intellectual Property at DAC Beachcroft. He has written extensively on copyright matters. His current focus is on software licensing ' largely dealing with audits or 'software license reviews' initiated by the major software vendors ' Oracle, SAP, IBM, Microsoft and Informatica. He is currently a director at Memery Crystal LLP and also legal director of its software licensing consultancy, Cerno.

Martyna Polak
Martyna Polak

Martyna is a Solicitor in the Commercial, IP and Technology team at Memery Crystal LLP. She advises on a variety of contentious and commercial intellectual property matters, particularly in the field of trade marks and copyright.

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Jurisdiction(s):
United Kingdom
Key definition:
On-premise definition
What does On-premise mean?

Software or infrastructure installed or located within the physical premises of an organisation. Usually used to describe traditional or non-cloud IT resources.

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