Evaluating the risks of open source software in M&A transactions

Open source software (OSS) has emerged as a significant market disruptor in recent years. OSS serves as an alternative to commercial software licensing wherein the licensee does not need to pay for the license. This tends to make it particularly attractive to start-ups attempting to keep their costs down. However, the free use of the OSS comes with some additional considerations which need to be managed before an acquirer purchases a company making extensive use of OSS. Some analysts have noted that, in the acquisition context, OSS can present a number of challenges, including security risks and compliance. Compliance obligations can arise through the licenses of use for the OSS and understanding the nature of these risks going into a transaction can ensure a smoother transition. A possible method for of doing so may require the acquirer asking the target to manage any compliance issues beforehand, while another suggests that the acquirer devise strategies for addressing…

Read more detail on Recent Corporate Law Department posts –

Legal notice about the Evaluating the risks of open source software in M&A transactions rubric : Hukuki Net Legal News is not responsible for the privacy statements or other content from Web sites outside of the Hukuki.net site. Please refer the progenitor link to check the legal entity of this resource hereinabove.

Do you need High Quality Legal documents or forms related to Evaluating the risks of open source software in M&A transactions?

This entry was posted in Corporate Law and tagged , , , , , , . Bookmark the permalink.

Leave a Reply