A software audit firm, working with your counsel, can help you manage a more favorable outcome when responding to a bsa letter the business software alliance bsa is an industry trade group comprised of software giants that exist to help leading software firms combat software law violations sometimes referred to as software piracy. Bsa the software alliance s primary enforcement tool is to send a threatening letter indicating that an investigation has commenced and offering to forego litigation if the target company provides a self audit. How to respond to a bsa or siia software audit letter. When many businesses first receive an audit letter from the bsa the first impulse may be to panic and rush to action. How to handle a business software alliance audit dtech. What you need to know if you receive a letter from bsa the. An llc notice is sent to the organization from the bsa before conducting an llc audit. Apr 25, 2014 business software alliance bsa audits by attorney steve. Bsas misleading and unsavory tactics in software audits. Once an informant provides a tip, the bsa sends a cease and desist letter andor a letter requesting an audit. Robert represents midmarket and large enterprise companies in software license transactions and disputes with major software publishers such as adobe, ibm, microsoft, oracle and sap. What you need to know if you receive a letter from bsa. The bsa or autodesk audit demand letter should be taken as a wake up call and every company should take measures to beef up its sam software asset management practices to ensure all software.
Have you received an audit letter from bsa business. The business software alliance is the leading advocate for the global software. Click here for our essential software audit checklist 30 questions your company must be thinking about now if you received a software audit letter from bsa, siia or an individual software publisher. Acting either through an internal enforcement attorney or an outside law firm, the bsa will send a letter to the target company requesting a self audit. The sudit program can be downloaded from their site. A second option is for you to complete a software audit according to the instructions provided in the letter and produce the results of that software audit to the bsa.
For over a decade i have represented scores of corporate clients from all over the country in software audits and license disputes involving the business software alliance or bsa. Therefore, consider a bsa audit letter to be directly from its members. When you receive a bsa audit letter it is important to understand that the bsa business software alliance is acting on behalf of its member companies. Thats because many honest companies have been subject to violation and fines from software companies because they unwittingly underlicense software, or do their licensing procedures incorrectly. Preparing the bsa audit materials bsa the software alliance s primary enforcement tool is to send a threatening letter indicating that an investigation has commenced and offering to forego litigation if the target company provides a self audit. The bsas typical approach is to, at the first instance, demand businessowners to complete a voluntary selfaudit, where business owners must produce a full index of all bsamember software running on that business network, and provide receipts or other proof of licensed ownership of such software. The requested audit is meant to uncover unauthorized installations of ed software. We received a form letter from the business software alliance bsa telling us to do a self audit and if we find any unlicensed software to report it during our grace period because if you organizations software. The incumbent will develop knowledge of bsa, its members, and policy issues affecting the software industry in the region, including privacy, cybersecurity, law enforcement access and encryption, digital.
The business software alliance bsa bullies small companies that cant present the single piece of evidence it considers acceptable as proof of software ownership. When you buy software to use on the computer it comes with a license. The business software alliance s claim that 90% of all audit letters sent in 2012 were the result of tips from whistleblowers is a wakeup call to cios share this item with your network. While the business software alliance will appreciate your cooperation, you will likely receive a followup letter. If the reward requirements have been met, then bsa will consider you for a reward.
A selfaudit consists of a listing of all bsa member software running on a companys computer networks, appropriate indicia of ownership for the. How to respond to a bsa or siia software audit letter without an. The type of audit depends on the circumstances and can be done by the business or conducted by an outside party. I am an intellectual property attorney in southlake, texas who has handled more than 230 business software alliance audit matters for small to mediumsized companies. Autodesk audit letter after explaining situation audit demand withdrawn and case closed. If you violate the terms of the license, or make unauthorized copies, you might get a letter from the bsa seeking to audit your business. About the business software alliance bsa audit defense.
These disputes usually begin with a form letter to the company the audit. What the business software alliance audit letter does typepad. Software audit letters may seem like a needless or malicious attack on your business. The letters often state that the bsa has received information that the business does not have a proper license for software installed on its computers. We received a letter from the business software alliance. In other words, the attorney for the business can draft and negotiate a confidentiality agreement between the business client and the auditing organziation. Many targets dont understand that the audit only relates to the computer software products. Bsa the software alliances primary enforcement tool is to send a threatening letter indicating that an. Feb 18, 2004 bsa software audit will not trigger legal action. If your company is facing a software audit, you need experienced counsel to protect your business. The business software alliance bsa conducts all llc audits. Bsa the software alliance sent a letter to congress outlining the software industrys priorities for future covid19 relief legislation.
Tips to responding to a bsa audit letter legal guides avvo. Bsa software audit will not trigger legal action the register. What the business software alliance audit letter does. Oct 20, 2015 a business software alliance bsa audit is usually initiated with a letter from the bsa stating that an investigation has been started on your business and that you should comply with a self audit to avoid litigation and other legal hassles. The business software alliance, also known as bsa, is a trade group established by the microsoft corporation in 1988 and represents a number of the worlds largest software makers and is a member of the international intellectual property alliance. Understanding the importance of the audit effective date in a bsa audit matter is the first step to a successful outcome. What the business software alliance audit letter does the letter goes on to state that the recipient has been identified as somebody that could be using those various pieces of software without proper licensing, as a result, they say that that person receiving the letter. The business software alliance bsa targets small businesses that may be improperly using software of its members and retains lawyers to send a bsa audit letter to the business. If you have been contacted by bsa the software alliance, you need experienced counsel to protect your business. The first thing i do when i look at an audit letter is to see who is sending the letter. For redmond reader marvin, the letter came from the bsa but the organization fudged microsofts involvement with the audit, marvin claims. What to do when your business receives a letter from the bsa. In 2008, the business software alliance received more than 2,500 reports of illicit use of software by companies in the u.
How to respond to a bsa the software alliance audit letter. Bsa the software alliance sent a letter to congress outlining the software industry s priorities for future covid19 relief legislation. Sep 30, 20 when you buy software to use on the computer it comes with a license. It does not help that the advice you might have received. Accused of software piracy by bsa the software alliance. Autodesk has over ten million users and is a member of the business software alliance bsa. Everything you need to know about software audits aberdeen.
A ccused of software piracy by bsa the software alliance. It may seem that it is fishing just to find something against you. Kagetsuki writes weve just gotten a letter from an attorney representing the business software alliance stating someone were certain its a disgruntled former employee submitted information we are using illegally copied software. If they want an audit, the reply to the request should note that you have privileged and proprietary information on your machines, that supervising the audit to ensure the security of this information and compensating for interference with and interruption of the operation of your computer systems will result in damages to your business, and. Jun 07, 2018 if youre a business that buys software you need to be ready for a software audit even if youre not pirating. Bsa audit procedures accounting and audit united states. It does not help that the advice you might have received from socalled experts on structural and volume licensing programmes got it wrong.
All of our cases begin with somebody who comes to us to report. He has defended over 250 software audit matters initiated by software piracy trade groups such as the bsa and siia. Mar 12, 2016 the first thing i do when i look at an audit letter is to see who is sending the letter. Bsa the software alliance investigates all reports of software piracy without independently confirming the veracity of the information provided or the motive of the person making the complaint. Keelin hargadon businesses sometimes find themselves the recipients of a letter from the business software alliance bsa demanding an. If you do receive an llc audit, do not simply accept the audit terms, process, and results. Our lawyers have the legal and technical expertise to defend your business through every step of the bsa audit process. How to respond to a bsa or siia software audit letter without. Audit effective date this is the date on the bsas initial letter requesting the audit.
Its principal activity is trying to stop infringement of software. How to handle business software alliance audit demand letters. A business software alliance bsa audit is usually initiated with a letter from the bsa stating that an investigation has been started on your business and that you should comply with a selfaudit to avoid litigation and other legal hassles. Bsa licensing audits following on from my post about microsoft licensing options, i thought it prudent to cover what may happen if your licensing isnt in order and you end up getting audited. Feb 27, 2014 understanding the importance of the audit effective date in a bsa audit matter is the first step to a successful outcome. Business software alliance bsa audits by attorney steve. Bsa audit lawyer, bsa audit letter, contact kirkpatrick.
Some ignore the letter, assuming it to be some kind of spam or marketing ploy. Here is a list of some of the firms we have dealt with for both autodesk and business software alliance. Jenny blank, north american enforcement programs manager for the business software alliance bsa, explains the bsas audit process. I work at a small nonprofit that has 18 employees plus a seat computer lab. A reward will be paid only if bsa pursues an investigation and, as a direct result of the information provided by you, receives a monetary settlement from the reported organization. A business software alliance bsa audit is usually initiated with a letter from the bsa stating that an investigation has been started on your business and that you should comply with a self audit. Feb 09, 2016 the bsa or autodesk audit demand letter should be taken as a wake up call and every company should take measures to beef up its sam software asset management practices to ensure all software is properly licensed, not pirated, and all receipts and proofs of purchase are accounted for.
The business software alliance last week launched a software. How did the bsa get your name and what should you do. The bsa business software alliance represent many vendors, not just microsoft so are the most likely ones to be involved with an audit. It may be surprising to learn that the business software alliance bsa actually hires law firms to send letters threatening its own business. Bsa the software alliance s primary enforcement tool is to send a threatening letter indicating that an investigation has commenced and offering to forego litigation if the target company provides a selfaudit. Business software alliance dirty tricks update network world.
Businesses sometimes find themselves the recipients of a letter from the business software alliance bsa demanding an audit and accounting of software installed on company computers. The audit is used to determine if all the software available for use is properly licensed and paid for by the business. These are trade groups formed by the licensors of software. Negotiate a settlement with favorable terms privacy.
A selfaudit consists of a listing of all bsa member software running on a companys computer networks, appropriate. For the last ten years, i have been representing enduser companies nationally in software audit matters initiated by major software. Scott recommends strongly against buying a lot of software to make up for the amount of noncompliant seats an organization may find once theyre faced with an audit. As you may have guessed, a software audit typically starts with a letter sent to the company by one of two organizations, the business software alliance or the software industry information association. Bsa business software alliance typically audits for microsoft, adobe, autodesk, and others. Feb 20, 2015 autodesk has over ten million users and is a member of the business software alliance bsa. There are two common questions that arise from the business. Similarly, the business owner or general counsel gc receipt of such an audit letter may mistakenly believe that his or her company is compliant. These are usually threat letters and cannot be taken lightly. For the last ten years, i have been representing enduser companies nationally in software audit matters initiated by major software publishers including microsoft, adobe, autodesk, ibm and their trade groups. Preparing the bsa audit materials bsa the software alliances primary enforcement tool is to send a threatening letter indicating that an investigation has commenced and offering to forego litigation if the target company provides a selfaudit. Jan 06, 2014 currently performing self audit of software installed throughout the company. What the business software alliance audit letter does the letter goes on to state that the recipient has been identified as somebody that could be using those various pieces of software without proper licensing, as a result, they say that that person receiving the letter may be in violation of the act in the united states.
The ultimate guide to saving your business money by handling your software compliance case without a lawyer this is a general. How to handle business software alliance audit demand. Baseline talked to the experts whove directly dealt with the business software alliance, and weve compiled an 8 step guideline process for handling the aftermath of receiving an intimidating audit letter lets face it, software. Is it the business software alliance bsa, or the software information industry association siia. Often, this belief is based on a recollection that invoices to a software vendor in question were paid. What i learned in the last 10 years defending bsa the. Undertake to submit to the audit, or decide not to 7. The date at the top of your letter from the bsa the software alliance is a very important date. It is very important to respond to the bsa audit letter. These audits can also be triggered when two companies merge.