2. COPYRIGHT NOTICE: This presentation contains copyrighted and/ or trademarked material the use of which has not always been specifically authorized by the respective owner(s). We are making such material available in our efforts to educate the audience on the issues surrounding copyright law as it pertains to software usages and End User License Agreements. We believe this constitutes a 'fair use' of any such copyrighted material as provided for in section 107 of the US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material in this presentation is presented to those who have expressed a prior interest in receiving the included information for research and educational purposes.

4. Inventory as Armor Defending your Business with Knowledge

5. Inventory as Armor Presented by Vern Graner, CSAM Senior Systems Engineer & Compliance Officer Integrity Software Inc. Defending your Business with Knowledge

6. Definition of Terms* in·ven·to·ry - n. A detailed, itemized list, report, or record of things in one's possession, especially a periodic survey of all goods and materials in stock. The process of making such a list, report, or record. The items listed in such a report or record. * source: www.TheFreeDictionary.com

7. Definition of Terms* ar·mor - n. A defensive covering, as of metal, wood, or leather, worn to protect the body against weapons. A safeguard or protection * source: www.TheFreeDictionary.com

8. Why do you need protection?

9. For defending against Threats.

10. #1 Threat: BSA

11. No, not them..

12. The Business Software Alliance #1 Threat!

13. “Benevolent” They educate the public, they partner with high-profile vendors

14. Some of the many BSA members: (Do you use products from any of these companies?)

15. They work with the Government

16. Prosecuting Pirates! Protecting consumers!

17. The BSA is an RGO! (Revenue Generating Organization) They locate “pirates” and collect monetary fines on behalf of their members.

18. How is the BSA a danger to your business?

19. Employees = Informants? These “reward” offers don't really work.. do they?

20. $144,000 in March 2010

21. $400,000 in August 2010

22. $275,000 in October 2010

23. How can they do that !? The BSA is not a government organization! Don't I have rights?

24. “Its the Law” Amendment the 4th: The right of the people to be secure in their persons, houses, papers, and effects, against unreasonable searches and seizures, shall not be violated, and no Warrants shall issue, but upon probable cause, supported by Oath or affirmation, and particularly describing the place to be searched, and the persons or things to be seized.

25. “Its the Law” Amendment the 4th: The right of the people to be secure in their persons, houses, papers, and effects, against unreasonable searches and seizures, shall not be violated, and no Warrants shall issue, but upon probable cause, supported by Oath or affirmation, and particularly describing the place to be searched, and the persons or things to be seized. WAIVED!

26. The End User License Agreement or “EULA” is a binding, legal contract between you and the software vender.

27. Next.. Next.. I AGREE.. Next.. Not many folks actually read this stuff...

28. Look closely at the EULA! What, exactly, have you agreed to?

29. By clicking “I AGREE”: “20. Verification/Audits. On Licensor's reasonable request, You will furnish Licensor with a signed statement confirming whether the Software is being used by You in accordance with this Agreement. Further during the term of this Agreement and for one (1) year thereafter, Licensor may, upon five (5) business days advance written notice to You, audit You for the purpose of verifying Your compliance with this Agreement. You understand and agree that the audit may take place in person or Licensor may use technological means to perform such audit. You agree to provide Licensor will all reasonable assistance required hereunder.”

30. The law is on THEIR side! They can, and do, walk right in and gather evidence to use against you!

31. The Business Software Alliance Benevolent?

32. The Business Software Alliance Don't be so sure...

33. Scared yet? (If not, then you haven't been paying attention!)

34. Inventory as Armor Defending your Business with knowledge

35. Protection, by the numbers:

36. 1) Have a CLEAR, updated, enforced A.U.P. (Acceptable Use Policy)! -Make sure all employees understand and follow it! -Make sure all management understands and follows it -Company computers are not personal computers!

37. Protection, by the numbers: 2) COLLECT INVENTORY! -Collect and maintain an inventory of all hardware and software products that may subject you to fines for copyright infringement -Inventory maintenance is a process (ongoing) not as a one- time procedure

38. Protection, by the numbers: 3) RECONCILE INVENTORY REPORTS WITH RECEIPTS! -Compare all discovered software with purchase records! -Track down new software installs and verify the ownership!

39. Protection, by the numbers: 4) WATCH FOR CHANGES -Unauthorized software installations can create infringement! -New versions of products may or may not be covered by existing licenses

40. Protection, by the numbers: 5) KEEP PROOF OF PURCHASE -Don't allow employees to “accidentally” discard receipts! -Make sure your record retention / destruction policy exempts your proof of purchase records!

41. Protection, by the numbers: 6) REMOVE UNAUTHORIZED SOFTWARE -Watch for, and remove, employee-owned applications (Laptops?) -”Shareware” and “Free” may not be! -Not just software- music too!

42. Protection, by the numbers: 7) The Letter L ;)

43. Inventory = Painting a battleship

44. Regular inventory collection, combined with purchase reconciliation, keeps you in compliance! Companies in compliance are much more likely to get to keep their money!

45. Inventory as Armor Integrity Software, makers of SofTrack and Quick Inventory can be reached via the web at SoftwareMetering.com or by phone at 866-372-8991 Presented by Vern Graner, CSAM Senior Systems Engineer & Compliance Officer Integrity Software Inc. vgraner@softwaremetering.com