Use of licensed software by attorneys acting for the benefit of a licensee of the software breached the terms of the license agreement, the U.S. Court of Appeals for the Fifth Circuit ruled. The dispute concerned a license for mortage loan preparation software and related forms; the licensee argued that the attorneys could only take those actions with respect to the software that the licensee could take itself, and that nothing in the agreement prohibited such access when it was done for the benefit of the licensee. The court noted the numerous express limitations contained in the software license agreement, including provisions prohibiting sublicensing or assignment of rights under the license to third parties, and requiring the licensee to prevent third parties from acting in any way inconsistent with the licensee's obligations under the agreement.
Compliance Source, Inc. v. GreenPoint Mortgage Funding, Inc., 624 F.3d 252 (5th Cir. Oct. 18, 2010) Download PDF