To make sure that we bring a high quality second-hand software to our customers, we use a 3-step verification process when obtaining used licenses. That way we can secure that everything we sell is 100% legal.
How does the 3-step verification process work?
What legal guarantees do we provide?
With each purchased license the buyer obtains a legal document that obliges us to ensure the lifetime legal guarantee of the origin and legality of the software. In case of any problem, we take the full legal responsibility for the sold license(s). We work with stable and verified suppliers only and our company cooperates with other organizations in a common goal of detecting fraudulent license sellers and reporting them to law enforcing structures.
What does the law say about reselling used licenses?
One of the most important judgments concerning the sale of used licenses was rendered by the Court of Justice of the European Union (CJEU) in 2012.
The CJEU judgment in Case C-128/11 UsedSoft GmbH v Oracle International Corp. says that “An author of software cannot oppose the resale of his ‘used’ licenses allowing the use of his programs downloaded from the internet. The exclusive right of distribution of a copy of a computer program covered by such a license is exhausted on its first sale.”
This means that the sale of ‘used’ and redundant software licenses is legal. This judgement created a safe, legal framework for the whole European Union ensuring a fair and healthy competition on the European market.
The judgment also states that:
- The unlimited software licenses can be traded freely. If you purchase an independent software license, you can sell it under the same conditions.
- The distribution rights of the producer are exhausted upon the first sale of the software. Customers who bought a computer program on a free market are entitled to use the purchased software.
- Even if the resale of software is specifically forbidden by the license agreement, the right holder can no longer oppose the resale of that copy. The license agreement is subject to the European Law and points which are in conflict with the European Law are void (this applies mainly to the ‘OEM software’).
- There is no difference between the manners of distribution. Software can be distributed by CD/DVD (physical licenses) or online (digital licenses). The right holder cannot demand an appropriate remuneration for further resale of the software license because the appropriate remuneration was obtained during the first sale.
Legal history of used software
Have a look at what were the major court decisions and EU directives that influenced the situation on the market with used licenses in the infographic below.
This precedent-setting decision is considered a big victory for the free international software trade.