The Essence of Using Software Escrow Services
Escrow usually refers to an agreement between two entities who entrust valuable assets to a third party or a mediator in the transaction process. The things that both parties deposit to an escrow agent could be in a form of documents, money, and intellectual property. The items that the agent is keeping will be protected until certain instructions are given to them. A software is called an escrow if the source code is kept confidential by an escrow agent of the third party. The agency that has plans in using the software can as the agents to keep the software. Software escrow services are usually done by two parties which are both involved in a a software licensee transaction.
A programmer can only make a program if they have with them their source code. For other types of programs the source code can be transferred in the different programs, with this you are able to use the whole application and install them in your device. As long as you have the right knowledge about software executable source code it is very much possible for you to have your own program or application. If there is any breach of contract that the software developers made like bankruptcy and inability to update their software then it is possible for clients to gain access with the source code of their software through the escrow agent.
It is already a prevailing situation that there are some unscrupulous individuals that might take advantage of people’s business. Most of the time these transactions involve substantial amount of money. Since there is now an involvement of software and source code in an escrow contract, buyers of software can be assured that they are safe from those individuals who might lure them. As of today, more and more people create programs and software that are sold in the market and clients should know that there is already a safer way to purchase and that is through an escrow agreement.
The clients are not just the one protected from fraud but also those who are makers of the program itself. Developing your own program and software is no joke, you will need to spend a great deal of time, money and effort in order to make a high quality output. The main objective of having an escrow agent is for both parties to have a mediator of the process who will be the one to setup the terms and conditions in the whole contract and of course both parties will be there to discuss everything in it as well. If there are certain terms that are violated in the agreement, the escrow agent has the right to perform appropriate action base on the contract or agreement.