Most people come across it when using popular online auction sites and essentially it comes into play when money is put in the hands of a third party while an agreement or transaction is underway.
At the end of the process or the resolution of a transaction the money is then transferred to the party to which it is owed.
This can be employed to protect all parties involved in a transaction without giving any of them an advantage or disadvantage.
As an escrow solution is a simple and effective arrangement designed to minimise risk and protect the interests of all parties involved, it can have many different applications, particularly when it comes to software and internet usage.
Sometimes a company or organisation which purchases a complex system, such as a bespoke process control software for business or industrial purposes, may require the supplier to place the design into what is known as ‘source code escrow’. This means that the purchaser remains in a position to maintain and modify the system in case the supplier ceases trading.
By using NCC Group Escrow a purchaser can assure the long-term availability of source code and other data and materials. These types of escrow services protect the interests of all parties involved in the development, supply and use of critical software applications by addressing access and confidentiality concerns in one process.
Although once something of a niche market, software escrow is becoming more recognised as having an important role to play in the development and application of modern business practices.
As the world’s largest software escrow provider, NCC Group has strong relationships with over 5,000 software providers and their escrow and verification services assure the long-term availability of business critical software applications for end users. Not only this, but the intellectual property rights of software suppliers are fully protected too.
But making use of software escrow and verification services, support and maintenance of critical software applications no longer holds any risk to the long-term effectiveness of a business.
With an escrow agreement in place, a copy of the source code behind critical applications is held securely with both the end user and supplier’s agreement and this ensures that the material can be accessed and released should the need arise. This means that the end user can then maintain the software by working from the original source code.