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Legal assessment of used software license resale
Dear Sir or Madam,
We have been asked to provide a written statement regarding a customer inquiry into whether the trade of used software licenses is legal. The Swiss courts (specifically the Cantonal Court of Zug) and the European Court of Justice have issued judgments confirming that trading in used software licenses is permitted under Swiss and European copyright law. Therefore, used software can be sold in Switzerland and the European Union if the following conditions are met:
With the first paid disposal of software licenses granting a permanent right of use (without time limit) and a valid maintenance contract, the copyright holder loses the right to determine their further disposal.
This principle also applies to volume licenses and their splitting for the purpose of separate resale, provided that the agreed maximum number of users is complied with. License terms that prohibit the further disposal or splitting of software licenses are not enforceable against a second or subsequent purchaser.
A prerequisite for the lawful resale of used software licenses is, in any case, that the first purchaser no longer uses the software licenses to the extent of the resale and deletes any existing copies on their computer to the same extent.
Provided that the above conditions are met, the resale of software licenses is permitted in Switzerland and within the European Union under Swiss or European copyright law.
Best Regards,
FRORIEP Rechsanwälte
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