Arne Larsen, information systems director at the 5,000-employee insurer, said the situation with this vendor, which he declined to identify, is an anomaly among the many software licensing contracts the company is dealing with. But that's of little comfort, he added. The FTC is making a broad-brushed examination of common software licensing practices, such as whether the lack of disclosure of warranty terms until after a software sale is made is fair to end users. Software industry representatives invited to speak at the workshop credited established licensing practices with giving vendors the flexibility to tailor software to end users' needs, such as those met by application service providers. There is no one-time sale.
Companies can include or exclude whatever terms they like in a contract negotiation.
Larsen said he believes the size of his organization will give it leverage in negotiations. Inc. All rights reserved. Reproduction in whole or in part in any form or medium without express written permission of Computerworld, Inc. is prohibited.