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Software is automatically protected by Federal copyright law from the moment of its creation. This is the same long-established rule which governs records, books, and films. Although it may be tempting to copy software since it is quite easy to do, and the copy usually works as well as the original, it is important to remember that this is just as illegal as photocopying a textbook.
Persons who purchase a copy of software have no right to make additional copies without the permission of the copyright owner, except:
1. to copy the software onto a single computer 2. to make another copy for archival purposes only.
In other words, there should be one software package per computer. A copy of software should be purchased for EVERY computer on which it will be used.
Why do we need copyright laws for software? Copying software inhibits innovation. The software industry is filled with new developers trying to break into a crowded market. Writers, programmers, and graphic artists work together to develop new and creative software. If their products are not purchased, they will not be able to survive in the industry since they will not be getting fair compensation for their work and creative talents. Newer and better software can be developed only if the software development team receives a fair price for its efforts. Software piracy will result in less new and innovative software coming our way. So, when some people copy software, we all suffer.
Most people do not realize that software piracy is a federal offense. However, the unauthorized duplication of software constitutes copyright infringement regardless of whether it is done for sale, for free distribution, or for the copier's own use. IGNORANCE OF THE LAW IS NO EXCUSE!
The consequences of copying software without permission of the copyright owner can be severe. Penalties include liability for damages suffered by the copyright owner plus any profits of the infringer that are attributable to the copying, or statutory damages of up to $100,000 for each work infringed. If the unauthorized duplication of software is done willfully and for purposes of commercial advantage or private financial gain, it is considered a Federal crime and can result in fines of as much as $250,000 and jail terms of up to 5 years.
The same rules apply to businesses, schools, and user groups. There must be one authorized copy of a software product for every computer on which it is run. This prohibits, for example, making a copy of your company's software to use at home. Many software firms offer special sales arrangements to schools such as discounts for additional copies of programs, reduced-priced lab packs, and site license agreements. However, without this authority from the publisher, copying software is illegal.
Everyone benefits from a healthy computer software industry. Do your part and be software legal.
A copy of ECN #205b, Software Use and the Law and Is it okay to copy my colleague's software? is available in a handout from your site specialist. The material for this article (plus much more) can be found in this handout.
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