Is it legal for a company to require an extra software license for a backup? I work for a company that has purchased a software license for software that is needed to make our company run smoothly. We'd like to create a backup of the server in case of hardware failure, however the company we bought it from says that creating a copy of the software on the server is illegal and is instead asking for an insane amount of money for an additional license to create a backup on our own hardware.(Backing up the database for the program isn't an issue with them, just the software itself) I understand that under U.S.C Title 17 § 117 that if we owned the software we'd be able to create a backup, however because we're just licensing it this might not apply. In case of a hardware failure they would reinstall the software on another server and restore the database backup however this would be only doable during business hours and would take longer than us doing it ourselves. Is it legal for them to deny us the ability to create our own backup and instead have to rely on them?
If you're in the U.S., then section 117 of the Copyright Act is likely what you're looking for. The U.S. Copyright Office says: Under section 117, you or someone you authorize may make a copy of an original computer program if: the new copy is being made for archival (i.e., backup) purposes only; you are the legal owner of the copy; and any copy made for archival purposes is either destroyed, or transferred with the original copy, once the original copy is sold, given away, or otherwise transferred. Based on the information you provided, it sounds like you meet all three of these criteria. They also note that your particular software's license agreement might include special conditions that affect your right to make a backup copy. Such a warning would only make sense if it was legally possible for the software distributor to make such a limitation, so I'm afraid the direct answer to your main question is "yes". It's definitely not the norm - at least in my experiences - but it is a possibility so you'll need to consult your program's license agreement. There's also a possibility that the company misunderstood you and was thinking that you were running a backup server (in the sense of a redundant infrastructure) and not making an offline backup of your entire server. It's quite normal to require an additional license for the former case.
There is something wrong-sounding about that claim. Owning a thing (such as a book) means that you can dispose of it however you want. If it is a physical book, then unless this is a book of top secret classified information, the US government has no control over the item, nor does the copyright holder have any right to prevent you from giving away your copy. Electronic books, however, are another matter, since often you don't buy such books, you buy a license to use the book (like a software license). The license terms of an electronic book could be subject to various controls, and the license might be non-transferable. The underlying logic of this is that under the doctrine of first sale, you are allowed to do whatever you want with intellectual property that you buy, and therefore to restrict re-distribution of electronic IP, software especially is typically not itself sold, and just the permission to use it is. If this is an electronic book, the copyright holder would be able (though not necessarily willing) to permit you to transfer your copy to someone else. Of course you can't give a copy to two people unless you have two licenses.
Can anybody create their own license? That is to say, can I for example create my own license under which I can license software? Yep. It's just a contract granting rights to use a copyrighted work. You can write your own contracts, so you can write your own software license. It's just often recommended that you don't, because common licenses are more well-understood, and inexperienced drafters may make errors that could result in problems, such as unintended restrictions, failing to restrict things that were intended to be restricted, or creating provisions that aren't enforceable in some/all jurisdictions. Can you mandate how a software will be released? Yes. Many software licenses, including GPL, do. The restrictions you describe in your example sound similar to CC BY-NC-SA. Also, would the following clause even be legal? Using this software you agree that any work and intellectual property based on or created with this software will be under the [INSERT_NAME_LICENSE] license, even after any and all code from this software is removed in a future update, or even if the work is rebuilt from the ground up I'm not entirely certain, but &quot;even after any and all code from this software is removed in a future update, or even if the work is rebuilt from the ground up&quot; seems, in my opinion, unlikely to be enforceable—especially &quot;even if the work is rebuilt from the ground up.&quot; How would you differentiate a complete rebuild from a totally new piece of software? More broadly, once your copyrighted code is no longer in the product, there's nothing for them to license from you. It's hard to imagine how you'd be able to claim that you're harmed by someone releasing a new version of a product that used to contain your code under a different license. Without harm to you, there's nothing for a court to redress.
If it was illegal to make the entire copy, it is illegal to copy half the file. See also, e.g., Basic Books v. Kinko's Graphics Corp., 758 F. Supp. 1522 (S.D.N.Y. 1991) In response to the question of whether moving it to someone else's servers makes a difference: it is the act of copying, not the possession of the copy, that is the violation of copyright law. As for the copy a service assists someone to make, contributory liability would be the issue. You don't need to be the person making the copies to be contributing to the infringement--material contribution to the copying process and knowledge of infringement run a serious risk of creating contributory liability. If seriously considering such a service as a business model someone would need to consult a copyright expert with technical knowledge or pay counsel with technical knowledge for a good bit of time to do some research. There are major civil and criminal consequences if the industry or the government decides to go after a service doing this, so legal expenses would be a significant and important cost of doing business that would significantly increase barriers to entry. In addition, the service would likely be in violation of its agreement with storage vendors, who would want to minimize their legal exposure and might well discontinue the service when they learned what it was doing.
None The contractual chain is you &lt;-> warranty company &lt;-> (potentially others you don’t know about) &lt;-> service provider. Should something go wrong, you would sue your warranty company who might (it is up to them) then sue the service provider. Notwithstanding, it’s likely the service company owes you a duty of care and would be directly liable to you for a negligence claim.
There is something called the exhaustion doctrine that says that once the holder of a patent sells a patented device, they have relinquished control over that particular instance of the patent implementation. Anyone who legally purchases this hardware has the right to run whatever software they want on it, as long the software is otherwise legal (software designed to defeat DRM would be an example of software that is is not legal).
The difference between commercial and non-commercial software use is about as clear as it gets, outlined by the definitions in the license above. One makes money, the other doesn't. There is no gray area. Your intent or expectations for a project may seem to alter the difference between the two and add a gray area in your mind, but they don't. Once you are a commercial user, buy a commercial license and/or upgrade the non-commercial license to commercial. That's the legal angle; and what is illegal and what is unethical are not always the same. If you still feel like your intent does make a difference and you feel unethical about using a non-commercial license - because you are building a community and hoping/planning on making money - buy the commercial license to begin with.
You are concerned that your application is somehow a derivative work of MariaDB and therefore subject to the GPL. It's not totally clear to me whether that is the case or not. But it doesn't matter, because you are not distributing MariaDB itself (or any other part of your application). You're running it on a server which users are connecting to remotely. From MariaDB's licensing FAQ: Internal usage is free The GPL license only affects code that you distribute to other parties. Internal usage within an organization is totally free and not subject to any conditions. There is no such thing as 'internal distribution' that would restrict the usage of your code by requiring it to be GPLed. Connecting to a remote service that runs MariaDB (or any other GPL software) in the background is also free. For internal programs for which you own all the copyright(s), there is essentially no risk in using GPL software. The argument you can use in your defense is that if the software became GPL as part of the distribution, you as the copyright holder could immediately revert your part back to its original copyright. No one has the right to require you to reveal or redistribute your code to the outside of your organization even if you would have distributed it internally linked with GPL software! If your lawyers are concerned about distributions of software linked with GPL libraries between different legal entities within your organization, you can solve this by distributing your components and the GPL software separately, and have your other entity combining them. You can also switch to use the new LGPL client libraries. The use you have described in your question clearly falls into this case, and the presence of this FAQ item clearly demonstrates that the MariaDB developers intended to allow you to do this. The Free Software Foundation (the people who wrote the GPL) agree with this position for both unmodified copies and derivative works. Technically, you don't need a license to &quot;use&quot; a piece of software at all, assuming you have lawfully obtained it. But you're concerned about the possibility of creating a derivative work, for which a license is required. Fortunately, the GPL doesn't care about derivative works so long as they are not distributed.