Is it legal to buy used software? Can I sell surplus licences?
In July 2012, the European Court of Justice (Case C-128/11) laid down a decisive basis: a software manufacturer cannot prohibit the resale of its ‘used’ licences that enable the use of downloaded programs.
This was confirmed in July 2013 by the German Federal Court of Justice (BGH), which fully accepted the rulings of the European Court of Justice (ECJ). This confirmed that the distribution of used software licences is legal if certain requirements are met.
Conditions for a legal sale:
- 1. The software licence must originally have been put into circulation with the consent of the software manufacturer in the territory of the EU or an EEA member state.
- 2. It must be a perpetual licence that grants the first purchaser use for an unlimited period of time.
- 3. Use must be in return for a fee that corresponds to the economic value of the computer program.
- 4. Before resale, all copies must be made unusable for the previous purchaser.
These legal criteria provide clear guidelines for the legal trade in used Microsoft software licences. We will be happy to answer any further questions you may have.
In which countries is it legal to trade in used software licences?
In its judgment in the case I ZR 129/08 in July 2013, the German Federal Court of Justice recognised the findings of the European Court of Justice that trading in used software licences is legal in the EEA.
How can I recognise a reputable provider of used Microsoft software licences?
When buying used software licences, you should choose a reputable provider, because unfortunately there are some ‘black sheep’ on the market.
Below you will find an overview of criteria that a reputable seller of used software licences should meet:
- 1. Legal transparency: The provider should provide clear information about the legal aspects of selling used Microsoft software (as also recommended on the official Microsoft piracy website)
- 2. Certifications and partners: An important indication of a dealer's trustworthiness is the Microsoft Partner ID and existing certificates such as ISO certifications or similar.
- 3. Verifiable origin: The provider must be able to confirm that the licence was first placed on the market in the EU or another EEA contracting state.
- 4. Perpetual licences: Reputable providers offer licences that grant the first acquirer perpetual use, in line with legal requirements.
- 5. Transparency of licence details: The provider should provide detailed information about the licences offered, including the software version.
- 6. Commercially reasonable prices: The fee for software use should correspond to the economic value. Check whether the prices are in line with the market.
- 7. Proof of deactivation: Before resale, all copies must be rendered unusable by the previous owner. A reputable provider will be able to confirm that this process has been carried out properly.
- 8. Transparent terms and conditions: The provider should have clear and comprehensible terms and conditions that cover the legal framework and the purchasing process.
- 9. Good reputation: A reputable provider has a positive reputation. To check this, you could look at the provider's ratings on various portals (e.g. google, proven experts, etc.).
- 10. Advanced customer support: A reputable provider offers professional customer support that is available to answer questions and provide assistance with problems, as well as needs assessments and licensing advice.
By carefully checking these criteria, you can ensure that you are working with a reputable provider and that you are receiving legally purchased used Microsoft software licences.
What should you bear in mind when buying used Microsoft volume licences?
The term ‘volume licensing’ refers to the option of purchasing software licences in larger quantities. This is particularly interesting for companies or public authorities, because managing several hundred licence keys would involve an enormous amount of work. With a volume licence, this process is considerably simplified and made more efficient.
When purchasing used volume licences from Microsoft, there are several important points to consider in order to ensure that the purchase is audit-proof and legally compliant:
Reliability of the provider: Only buy from trustworthy and authorised dealers. Check the reputation of the provider and make sure that they have all the necessary licences and authorisations.
Legal compliance: To avoid legal consequences, make sure that the purchase and use of the used licences comply with the applicable laws and Microsoft's licence terms.
Transfer documentation: Ensure that the sale is carried out with all the necessary transfer documents.
Support and maintenance: Clarify whether and how support and maintenance are regulated for the used licences. In some cases, you may not be able to receive direct support from Microsoft
It is recommended that you seek professional advice, especially when purchasing larger licence packages. Keep in mind that conditions can change and always stay up to date with Microsoft's current policies.
The legal background – is splitting volume licences legal?
In 2014, the Federal Court of Justice (BGH) provided clarity with regard to splitting volume licences (case reference I ZR 8/13).
The gist of the Federal Court of Justice ruling:
The Federal Court of Justice confirmed that splitting volume licences is legally possible, provided
that the licences are independent rights of use. A prominent example of this is the sale of multiple
Microsoft Office licences under a single contract number.
This proves that splitting volume licences is legally possible, provided that they can be considered
as independent rights of use. A classic example is the sale of multiple Microsoft Office licences
under a single contract number.
