"'The rise of the Internet is the cause of these new laws,' says
Skip Lockwood, Washington-based coordinator of the Digital Future
Coalition (DFC), an organization
dedicated to intellectual property issues, and 4CITE (For a Competitive Information
and Technology Economy), a coalition formed to either reform or
oppose UCITA. 'We are dealing with companies that are not used to
the Internet and they are terrified of it.'"
"The law makes it possible for a publisher to prohibit a
customer from transferring the license to another party without
their permission. For example, if one company acquires another, the
acquiring company does not get the software unless the software
maker approves the transfer. Klein has seen at least one license
agreement specifying that sale of more than 50 percent of a company
shall be considered a transfer of license."
"'I bought Corel Linux's backup and recovery utility,' Klein
says. 'Their license has this provision. I was flabbergasted when I
"To avoid many of UCITA's provisions, IT executives must tread
carefully when negotiating software license agreements."