Apply to compliance officer, internal auditor, senior compliance auditor and more. How to handle business software alliance audit demand. Acting either through an internal enforcement attorney or an outside law firm, the bsa will send a letter to the target company requesting a selfaudit. Learn what the business software alliance is and what actions it takes to protect software companies intellectual property rights. Bsa software audit will not trigger legal action the. If you violate the terms of the license, or make unauthorized copies, you might get a letter from the bsa seeking to audit your business. Bsa software audit will not trigger legal action the register. If you receive a demand letter, you cannot just ignore bsas demands and hope for the best.
Dec 05, 2017 if your business gets a letter from the business software alliance requesting that you submit to a voluntary audit to see how much software you have installed on your company laptops, computers, and servers, this video will give you attorney steves top 5 things that should be considered by the ceo, cfo or other principles and owners of the. But when the piracy police overstep their bounds, companies. The business software alliance bsa is not law enforcement. To be in compliance with the bank secrecy act, financial institutions are. In 1970, congress passed the bank secrecy act bsa also known as the antimoney laundering aml law. Because bsa s initial demand was rife with inaccuracies, supplemental audit materials and corrections were submitted to bsa. What to do when your business receives a letter from the bsa. How to respond to a bsa or siia software audit letter without.
What auditors should know and ask about bsa aml software before a successful audit can be conducted nancy e. They are known as the software cops or software police to many, but they are not law enforcement. Some ignore the letter, assuming it to be some kind of spam or marketing ploy. Bsa the software alliance bsa is the leading advocate for the global software industry. Financial services is a set of services that allow municipal employees the ability to generate financial reports, view work order scheduling, and also grant approval for. It may be surprising to learn that the business software alliance bsa actually hires law firms to send letters. The bsa investigates reports of alleged use of unlicensed software. The audit effective date is the date on the bsa initial letter requesting an audit. Most companies are totally unprepared for software audits initiated by software publishers and their trade associations such as bsa the. There are three important differences between bsasiia audits and software publisherinitiated audits. What auditors should know and ask about bsaaml software. Is there some kind of special auditing software that is used here that shows. To ensure ongoing software compliance, the business has also agreed to undertake regular software audits and report to bsa. How to handle business software alliance audit demand letters.
The bsa is still doing audits, but many vendors, because of their need to drive revenue, have taken on the task of doing audits themselves, stoops said. Bsa the software alliances primary enforcement tool is to send a threatening letter indicating that an. If you violate the terms of the license, or make unauthorized copies, you. Jan 28, 2014 auditing used to be carried out primarily by the vendorfunded business software alliance bsa, but thats changing, according to dawson stoops, a cofounder and vp of sales at express metrix. The bsa business software alliance represent many vendors, not just microsoft so are the most likely ones to be involved with an audit. How to survive a software licensing audit informationweek. Sep 30, 20 when you buy software to use on the computer it comes with a license. Adobe is also a bit unusual in its approach to auditing, in that they do not outsource to third parties such as the business. Independent testing for compliance with the bsa and 31 c. Oct 20, 2015 a bsa audit demands that your business provides them details of all the software that is being used to run and manage your business, the ownership details of each software and other proof to show that all the software are legally being used by your company. Bsa as abbreviation means business software alliance online search. What i learned in the last 10 years defending bsa the. Bsa the software alliance yes, you can fight the bsa did you or your company recently receive a demand letter from the bsa. The results of the audit should be reported to and discussed by the board of directors, and duly recorded in the minutes.
The software alliance, also known as bsa, is a trade group established by microsoft in 1988 to. Is it the business software alliance bsa, or the software information industry association siia these are two of the large software trade. Apr 25, 2014 the business software alliance bsa is not law enforcement. Bsasiia audits and software publisherinitiated audits. B s a business software alliance nonprofit explorer. Bsa aml audit worksheet for compliance program updated 09122018.
The business software alliance last week launched a software detox initiative to help organisations check their software licenses. Nonprofit explorer includes summary data for nonprofit tax returns and full form 990 documents, in both pdf and digital formats. Computer software must be treated as a tangible asset. Targets of bsa the software alliance audits need experienced counsel to guide through the balancing act of preserving evidence and making sure that it business initiatives can proceed. Companies have been advised to exercise caution in deciding whether to complete the business software alliance s bsa software audit return, writes ross bentley. Since then, financial institutions like yours have been required to. Aml white paper white papers, audit, automation, software. For the last ten years, i have been representing enduser companies nationally in software audit matters initiated by major software publishers including microsoft, adobe, autodesk, ibm and. If your company has received a letter from the bsa the software alliance requesting a software audit, you are probably wondering whether you should cooperate or ignore the request. Founded as the business software alliance, it dropped business from its name in october 2012, and styles itself bsa the software alliance. As the leading advocate for the global software industry, bsa the software alliance conducts integrated policy and compliance and enforcement programs that accelerate the digital economy by protecting. A bsa audit demands that your business provides them details of all the software that is being used to run and manage your business, the ownership details of each software and other proof. Its members are among the worlds most innovative companies, creating software solutions that spark the economy and improve modern life. If bsa audit cases cannot be settled out for court, the issue of evidence preservation is likely to be an issue in the court case.
What to do when you receive a bsa audit letter by ericka chickowski print baseline talked to the experts whove directly dealt with the business software alliance, and weve compiled an 8 step guideline process for handling the aftermath of receiving an intimidating audit letter. Stupidly, our it department invited them in to explain. Business software alliance bsa audits by attorney steve. For the last ten years, i have been representing enduser companies nationally in software audit matters initiated by major software publishers including microsoft, adobe, autodesk, ibm and their trade groups including the bsa the software alliance. Interim confidentiality 408 agreements in 2004, i realized the importance of protecting my clients audit materials in bsa audit cases. Despite a global twopoint drop in unlicensed software installation rates. How the business software alliance operates slashdot. What to do when you receive a bsa audit letter by ericka chickowski print. Many microsoft eulas include a clause requiring users to agree to audits by software companies. Feb 27, 2014 for the last ten years, i have been representing enduser companies nationally in software audit matters initiated by major software publishers including microsoft, adobe, autodesk, ibm and their trade groups including the bsa the software alliance. If bsa aml software is implemented incorrectly andor ineffectively, then monitoring and reporting can be inaccurate. Beware the bsa software piracy is big business and bad for it as a whole, so someone has to police it.
Adobe is well known as one of the most frequent auditors in the software business. Companies have been advised to exercise caution in deciding whether to complete the business software alliances bsa software audit return, writes ross bentley. The horizon group is searching for a bsaamlofac compliance officer that will be responsible for the execution of the bsaaml ofac. When many businesses first receive an audit letter from the bsa the first impulse may be to panic and rush to action. However, auditors need to understand that this assumption can actually be totally false. How to respond to a bsa or siia software audit letter without an attorney. How to respond to a bsa or siia software audit letter without an.
Auditing used to be carried out primarily by the vendorfunded business software alliance bsa, but thats changing, according to dawson stoops, a cofounder and vp of sales at express. What auditors should know and ask about bsaaml software before a successful audit can be conducted nancy e. Lake, cams atlantic community bankers bank opinions posted here are that of. A bsa audit is a request, under threat of litigation, to compile a listing of all bsa member software products installed on the audited entitys computer network as of the audit effective date. Most bsa audits begin with a report from a disgruntled employee or former employee. It is funded through membership dues based on member companys software revenues, and through settlements from companies it successfully brings action against.
Stupidly, our it department invited them in to explain licensing to us, and now we are trying to fend off an audit on our computers public and priv. How to survive a software audit several smart steps can help organizations avoid problems before, during and after an audit. The abbreviation for business software alliance is bsa. These audits can also be triggered when two companies merge. What i learned in the last 10 years defending bsa the software alliance audits. Our lawyers have the legal and technical expertise to defend your business through every step of the bsa audit process. Im a faculty member at a public university which the business software alliance contacted in a bulk mailing last fall. While the overarching concept underlying a software audit initiated by a publisher like microsoft or. I opened the daily mail to find a letter from the business software alliance indicating that they wanted me to call them to schedule a visit for a. Best defenses to consider in a bsa software alliance audit. The business software alliance maintains telephone.
How do bsasiia and software publisherinitiated audits. What you need to know if you receive a letter from bsa. Bsa is the leading advocate for the global software industry before governments and in the international marketplace. Mar 12, 2016 how to respond to a bsa or siia software audit letter without an attorney. This time well be a bit more specific as we consider that which ms or the business software alliance bsa, or whoever will expect to see in the event of an audit and why its so important to take the possibility of a licensing audit very seriously. A selfaudit consists of a listing of all bsa member software running on a companys computer networks, appropriate indicia of ownership for the software comprised of dated proofs of purchase for each title. To be in compliance with the bank secrecy act, financial institutions are required to appoint a bsa officer responsible for ensuring that the organization has developed an appropriate bsa aml audit program and that the program is adequately maintained. The business software alliance bsa are an international body that. Baseline talked to the experts whove directly dealt with the business software alliance, and weve compiled an 8 step. A selfaudit consists of a listing of all bsa member software running on a companys computer networks, appropriate indicia of ownership for the.
The meaning of bsa abbreviation is business software alliance what does bsa mean. Its members are among the worlds most innovative companies, creating software solutions that spark the. Lake, cams atlantic community bankers bank opinions posted here are that of the author and are not approved or shared by atlantic community bankers bank. Apr 18, 2002 learn what the business software alliance is and what actions it takes to protect software companies intellectual property rights. Kagetsuki writes weve just gotten a letter from an attorney representing the business software alliance stating someone were certain its a disgruntled former employee submitted information we are using illegally copied software. If you receive a demand letter, you cannot just ignore bsa. How to handle a business software alliance audit dtech. The best proof in a bsa the software alliance audit is dated proofs of purchases from authorized resellers. As the leading advocate for the global software industry, bsa the software alliance conducts integrated policy and compliance and enforcement programs that accelerate the digital economy by protecting intellectual property rights, opening global markets, and fostering the growth of innovations such as cloud computing. Those that are done by the big accounting firms and those that are conducted by organizations such as bsa the software alliance. In 2008, the business software alliance received more than 2,500 reports of illicit use of software by companies in the u.
How do bsasiia and software publisherinitiated audits differ. Scott recommends strongly against buying a lot of software to make up for the amount of noncompliant seats an organization may find once theyre. The independent testing should be conducted at least annually, preferably by the internal audit department, outside auditors, or consultants. Executive summary software piracy, whether accidental or malicious, is. This aml white paper provides auditors with questions and strategies in order to ensure a successful audit is conducted.
Despite a global twopoint drop in unlicensed software installation rates during the last two years, unlicensed software is still being used around the globe at alarming rates, accounting for 37 percent of software installed on personal computers. B s a business software alliance guidestar profile. Defended medical practice management firm in a bsa matter involving primarily microsoft and adobe software. For example, in a case with the business software alliance, they may be. A ccused of software piracy by bsa the software alliance.
Bsa compliance solutions supports our members and their customers by partnering with key stakeholders around the world to raise awareness of the risk of malware, ransomware, and other critical security threats and drive license compliance through sound it procurement. Bsaaml audits certified public accountants and consultants. The bsa has requested that our company completes a selfaudit. Financial trends metrics for five most recent years 2017, 2016, 2015, 2014, 20. When you buy software to use on the computer it comes with a license.
What auditors should know and ask about bsaaml software acams. Keelin hargadon businesses sometimes find themselves the recipients of a letter from the business software alliance bsa demanding an. In the overwhelming majority of cases, the business software alliance pursues the selfaudit approach. It is important to note that companies are usually under no legal obligation to cooperate withthe software alliance. How to respond to a bsa or siia software audit letter. It is funded through membership dues based on member companys software.
The business software alliance maintains telephone hotlines and a web site to encourage disgruntled employees and vendors to make anonymous reports. Responding to an audit from the bsa the software alliance. Use of unlicensed software, while down slightly, is still widespread. A guidestar pro report containing the following information is available for this organization. Bsa does what it calls a cooperative selfaudit, which means that it asks a company to perform an audit of its own systems and report that information back to bsa. For example, in a case with the business software alliance, they may be willing. But the business software alliance bsa, the software industrys vendorbacked licensingenforcement organization, rarely shows mercy to.
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