End user license agreements (EULAs) are probably among the least-read and most-ignored documents. To try to get software users to read EULAs, publishers changed the processes to force users to scroll through the text before they could select “Agree” and click on “Accept.” For the most part, users just scrolled as fast as they could to get through the process and start using the latest and greatest version of the software they just purchased or leased. For the most part, there were few negative consequences to this behaviour.

Indeed, some software companies tacitly relied on users ignoring the license provisions in order to gain more users and increase market share. At some point, as the growth in users plateaued and the market became saturated, publishers became more serious about copy protection and software piracy. Some of the larger publishers started taking actions to enforce the licensing agreement terms and conditions.

It is anticipated that most users are in general conformance with the licenses they agreed to without reading. Unfortunately, general conformance is not good enough if a software publisher audits your usage. They will be looking for strict to-the-letter compliance.

Problems may include:

• using the software on too many computers;
• having the software on a server rather than on a standalone computer;
• leaving the software on obsolete computers that are gathering dust in a storeroom;
• having the software on home computers, and not just in the office (without additional licenses);
• having unlicensed, pirated, or "cracked" software on a computer accessible to the office network directly or remotely by staff working from home;
• allowing office visitors to connect to your network in such a way that they have access to your software applications; and
• using software that is free for private, non-commercial use in a business.
  

In addition to paying to license the extra copies, and paying any penalties, you may end up with more licenses than you need, tying up valuable cash that could be better used elsewhere. Practices will also suffer the loss of billable hours during the time they are tied up with the audit process, at the same time paying legal fees to a lawyer to defend their position.

In normal times, a practice’s internal processes may be adequate to ensure compliance with the licensing requirements, but what about in the midst of a pandemic? Has your response to the pandemic and everyone working remotely resulted in violations of those unread licencing agreements? This is a case of what you don’t know can hurt you.

It is recommended that you read the license agreements and conduct an internal audit to ensure you are in strict compliance. This may also require talking to any external IT company that may be assisting your practice when it comes to software you use. In applying those proactive measures at your firm, you will be one step ahead if an external audit is commissioned by your provider.

You may also consider implementing an office policy requiring strict compliance with EULAs, as well as not using unlicensed software on office computers, any computer connected to the office network, or any computer used to do office work.

Recognizing that staff often find utilities, add-ins, or applications to make work easier, a practice should consider developing a policy to deal with downloading and use of such software, and to ensure it is appropriately licensed.

You may also wish to explore using free, or open-source software as alternatives to what is considered the market-leading software. Some users find that it is good enough and is better value.

In applying such proactive measures at your practice, you will be several steps ahead if an external audit is commissioned by your software provider.