Re: [NF] Selling software intellectual property.

2013-09-13 Thread Gene Wirchenko

At 10:21 2013-09-12, Graham Brown grah...@compsys.co.uk wrote:

Hi all

One of my customers has asked to buy out the 
rights to one of my products. Currently there is 
only the one company using this.


 Why does he want this?

 Maybe, he wants the rights so that his 
competition can not have it.  Make him pay well 
for taking a potential market from you.


 Maybe, all he really needs is code escrow.

Normally my projects do not include the source 
because previously another client took the 
source, developed his own application with my 
libraries and set up in competition with me. 
Cost me about £30k in lost business.


 What a sleaze.  And it is expensive to sue.

Previously when this happened I had one customer 
try to enforce no writing software for 8 years 
after the sale and another wanting 20% royalty 
on all derivative works which is basically 
everything and everybody. I told both of them where to go.


 Good.

This new chap wants ownership of just the one 
product. The chap has said he will pay for this 
but I've no idea what to charge or what terms I should impose or accept.


 Charge more than a little.


Just wondering how to deal with this


 I wish I had your problem.

Sincerely,

Gene Wirchenko


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Re: [NF] Selling software intellectual property.

2013-09-12 Thread Ricardo Aráoz

El 12/09/13 14:21, Graham Brown escribió:

Hi all

  


One of my customers has asked to buy out the rights to one of my products. 
Currently there is only the one company using this.

  


Normally my projects do not include the source because previously another 
client took the source, developed his own application with my libraries and set 
up in competition with me. Cost me about £30k in lost business.

  


Previously when this happened I had one customer try to enforce no writing software 
for 8 years after the sale and another wanting 20% royalty on all derivative works 
which is basically everything and everybody. I told both of them where to go.

  


This new chap wants ownership of just the one product. The chap has said he 
will pay for this but I've no idea what to charge or what terms I should impose 
or accept.

  


Just wondering how to deal with this

  


Graham, this is capitalism. There is no intrinsic value to things. Just 
what you can get away with.
So I would evaluate how much revenue I might loose from this sale. Then 
how much might I loose from competition from my customer. Add them up 
and that's a minimum, then I would charge over that as much as I thought 
I may get out of them.
And be sure to add all the legalese bullshit about no implied guarantees 
and that you may also use the code for whatever you want, etc.



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