Mostly it’ll be because they have some concern about your company’s long term 
viability. It probably isn’t that they don’t want to pay for it. They just 
don’t want to have a situation where you disappear and they have no way to 
continue to work on it.

I’ve seen that in a number of contracts.

There’s a product that we shipped years ago in binary-only form. Someone asked 
about a source license and so we made one available for 25 times the binary 
price, thinking no-one would ever buy it. The source licenses ended up 
providing the highest income from the product. Many large companies purchased 
the source license, not because they wanted to work on the source, but just 
because they never wanted to be stuck if we weren’t around anymore.

Regards,

Greg

Dr Greg Low

1300SQLSQL (1300 775 775) office | +61 419201410 mobile│ +61 3 8676 4913 fax
SQL Down Under | Web: www.sqldownunder.com<http://www.sqldownunder.com/>

From: ozdotnet-boun...@ozdotnet.com [mailto:ozdotnet-boun...@ozdotnet.com] On 
Behalf Of Tony Wright
Sent: Friday, 6 November 2015 10:08 AM
To: ozDotNet <ozdotnet@ozdotnet.com>
Subject: Re: Escrow : anyone been involved in the process?


Hi Preet,

I would be very wary of entering into that process unless title was kept by you 
until they paid in full. They mustn't be allowed to use the software in 
production like environments until they've paid for everything. Escrow sounds 
to me like they will hold back payment until the software is big free, and as 
we all know that never happens.

Kind regards, Tony
On 6 Nov 2015 9:30 am, "Preet Sangha" 
<preetsan...@gmail.com<mailto:preetsan...@gmail.com>> wrote:
One of our customers (UK govt org) has requested that the software we provide 
is held in escrow.

This will be our first product that is going to be escrowed and I've never been 
involved in the process and was wondering if it's a relatively straightforward 
process or something we'll need to carefully plan for.

Also if there are any gotchas you found that would be great to hear about in 
advance. Thank you


regards,
Preet, in Auckland NZ

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