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Limitations on Use: Adobe vs Autodesk EULAs

By Ed Foster, Section EULA Reviews
Posted on Thu Sep 09, 2004 at 08:12:38 PM PDT

Some of the sneakiest terms in EULAs are those that try to put limitations on usage that is quite legal under copyright and other law. For the most part, the Photoshop license only reinforces those usage limitations that are prohibited by law anyway. The AutoCad license, however, takes some unique steps to restrict users even from actions that are clearly protected under laws in the U.S. and abroad.


The Terms

As distributed in August of 2004, the AutoCad 2005 end user license agreement read:

3.2 Prohibited Actions. Autodesk does not permit any of the following actions and You acknowledge that such actions shall be prohibited:
3.2.1 Use. You may not Install, Access or otherwise copy or use the Software or User Documentation except as expressly authorized by this Agreement.
3.2.2 Reverse Engineering. You may not reverse engineer, decompile, or disassemble the Software.
3.2.3 Transfers. You may not distribute, rent, loan, lease, sell, sublicense, or otherwise transfer all or any portion of the Software or User Documentation, or any rights granted in this Agreement, to any other person without the prior written consent of Autodesk.
3.2.4 Hosting or Third Party Use. You may not Install or Access, or allow the Installation or Access of, the Software over the Internet, including, without limitation, use in connection with a Web hosting or similar service, or make the Software available to third parties via the Internet on Your computer system or otherwise.
3.2.5 Notices. You may not remove, alter, or obscure any proprietary notices, labels, or marks from the Software or User Documentation.
3.2.6 Modifications. You may not modify, translate, adapt, arrange, or create derivative works based on the Software or User Documentation for any purpose.
3.2.7 Circumvention. You may not utilize any equipment, device, software, or other means designed to circumvent or remove any form of copy protection used by Autodesk in connection with the Software, or use the Software together with any, authorization code, serial number, or other copy protection device not supplied by Autodesk directly or through an authorized distributor.
3.2.8 Export. You may not export the Software or User Documentation in violation of this Agreement, U.S. or other applicable export control laws.
3.2.9 Use Outside of Territory. You may not use the Software, including without limitation a Network Version, or User Documentation outside of the country in which you acquired the Software.
3.2.10 Exceptions from Prohibitions. The prohibitions contained in this Section 3.2 shall not apply to actions that are expressly authorized under mandatory law (including, but not limited, to actions authorized under the fair use doctrine in Section 107 of the U.S. Copyright Act and laws implementing EC Directive 91/250 on the legal protection of computer programs) provided that You may not exercise any rights arising under such mandatory laws unless and until You have given thirty (30) days prior written notice to Autodesk to allow Autodesk, at its sole discretion, to provide an alternative remedy, e.g., information necessary to achieve interoperability of an independently created program with the Software.

As distributed and posted on Adobe's website in August of 2004, the comparable sectiion of the Photoshop CS end user license agreement read:

4. Restrictions.
4.1 Notices. You may not copy the Software except as set forth in Section 2 and 14. Any permitted copy of the Software that you make must contain the same copyright and other proprietary notices that appear on or in the Software.
4.2 No Modifications. Except as permitted in Section 14.7, you may not modify, adapt or translate the Software. You may not reverse engineer, decompile, disassemble or otherwise attempt to discover the source code of the Software except to the extent you may be expressly permitted under applicable law to decompile only in order to achieve interoperability with the Software.
4.3 No Unbundling. The Software may include various applications, utilities and components, may support multiple platforms and languages and may be provided to you on multiple media or in multiple copies. Nonetheless, the Software is designed and provided to you as a single product to be used as a single product on Computers as permitted by Sections 2 and 14. You are not required to use all component parts of the Software, but you may not unbundle the component parts of the Software for use on different Computers. You may not unbundle or repackage the Software for distribution, transfer or resale. See Section 14 for specific exceptions to this Section.
4.4 No Transfer. YOU MAY NOT RENT, LEASE, SELL, SUBLICENSE, ASSIGN OR TRANSFER YOUR RIGHTS IN THE SOFTWARE, OR AUTHORIZE ANY PORTION OF THE SOFTWARE TO BE COPIED ONTO ANOTHER INDIVIDUAL OR LEGAL ENTITY'S COMPUTER EXCEPT AS MAY BE PERMITTED HEREIN. You may, however, transfer all your rights to use the Software to another individual or legal entity provided that: (a) you also transfer (i) this agreement, (ii) the serial number(s), the Software and all other software or hardware bundled, packaged or pre-installed with the Software, including all copies, upgrades, updates and prior versions, and (iii) all copies of font software converted into other formats to such individual or entity; (b) you retain no upgrades, updates or copies, including backups and copies stored on a computer; and (c) the receiving party accepts the terms and conditions of this agreement and any other terms and conditions under which you purchased a valid license to the Software. NOTWITHSTANDING THE FOREGOING, YOU MAY NOT TRANSFER EDUCATION, PRE-RELEASE, OR NOT FOR RESALE COPIES OF THE SOFTWARE. Prior to a transfer Adobe may require that you and the receiving party confirm in writing your compliance with this agreement, provide Adobe with information about yourselves, and register as end-users of the Software. Allow 4-6 weeks to transfer. Please visit http://www.adobe.com/support/main.html or contact Adobe's Customer Support Department for more information.

Comparison

This is going to get complicated. A number of Autodesk's restrictions -- like the outright prohibitions on transfer and reverse engineering -- are common enough when you look at them by themselves. The most glaring exception is the ban on using the software in a country other than the one in which it was purchased, one of the more outrageous terms I've seen in a EULA from a major software publisher. Most of the other "Prohibited Actions" in the AutoCad EULA are in line with copyright law, so I wouldn't have bothered reproducing them here if it weren't for section 3.2.10.

Take a look again at 3.2.10, "Exceptions from Prohibitions." The U.S. and EU laws it cites are ones that specifically authorize reverse engineering for particular purposes. So Autodesk is claiming that, even when reverse engineering under a clear legal mandate, you still have to ask their permission first. But it's not unprecedented for licenses to say that in regard to reverse engineering. What is unusual about Autodesk's requirement is that it would also appear to apply to all the other "Prohibited Actions" that precede 3.2.10 in the EULA.

The consequences of this both now and in the future are hard to fathom. Just as an example, one of AutoCad's prohibited actions is circumvention of copy protection. Of course, the DMCA already prohibits circumvention of copy protection, so why does Autodesk bother putting this term in the EULA? Well, there are exemptions to the DMCA's anti-circumvention rules, one of which is the right to bypass obsolete copy protection schemes. With the AutoCad EULA's section 3.2.10, if and when Autodesk stops supporting the 2005 version's product activation, you would still theoretically be required to write to the company and wait 30 days before you could exercise your legal right to bypass their obsolete copy protection.

In contrast, the only restriction in the Photoshop that I think goes beyond the parameters of the applicable laws is its limitation on reverse engineering, and at least Adobe acknowledges the right to reverse engineer for interoperability purposes. Adobe also allows transfers if you follow their procedures, which seems fair enough.

My Scoring

I deduct one point from Photoshop's score for saying you can't reverse engineer the product. For AutoCad, I deduct one point for the prohibition on transfer, one point for the prohibition on reverse engineering, and two points for the prohibition on using the product in another country. I also deduct for Section 3.2.10's applicability to the reverse engineering section, one point for its applicability to the circumvention section, and one point for whatever else 3.2.10 might unfairly apply to now or in the future.

Total for Limitations on Use:

Autodesk AutoCad 2005: Minus 7 points
Adobe Photoshop CS: Minus 1 point

< Liability Terms: Adobe vs Autodesk EULAs | Adobe vs. AutoCad: A Head-to-Head EULA Comparison >


Display: Sort:
Limitations on Use: Adobe vs Autodesk EULAs | 10 comments (10 topical) | Post A Comment
Autocad's export prohibition[ Reply to This ] (none / 0) (#1)
by swaim on Fri Sep 10, 2004 at 08:31:47 AM PDT

I was under the understanding that at least some versions of AutoCad used encryption and couldn't be exported under the "munitions" law in the US, and a comparable law in England. (I heard this over 5 years ago when I worked for an engineering firm.)

[ Reply to This ]


Another reason to migrate to bricscad[ Parent | Reply to This ] (none / 0) (#9)
by Anonymous User on Mon May 30, 2005 at 02:13:39 PM PDT

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[ Parent | Reply to This ]


22[ Parent | Reply to This ] (none / 0) (#16)
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[ Parent | Reply to This ]


International Rules[ Reply to This ] (none / 0) (#2)
by Anonymous User on Fri Sep 10, 2004 at 09:12:53 AM PDT

I don't believe that AutoCAD is the only one who does this. Aboug five years ago, I got into a discussion with Rational about this, since I had their product on a laptop I used when travelling internationally. If the language on the license had been strictly adhered to, I would have had to pay them a separate licensing fee for every country the plane flew OVER, not just the ones I worked in. After an exchange of e-mails with their licensing department, Rational very kindly sent me a letter exempting me from that particular part of their EULA. I was pleasently surprised at their responsiveness when I brought up the issue.

[ Reply to This ]


Autocad Transfer[ Reply to This ] (none / 0) (#3)
by Anonymous User on Fri Sep 10, 2004 at 02:28:29 PM PDT

The company I work for has bought out two smaller firms in the lasat two years. Autocad was quite helpful in transfering the software licenses both times we needed to do this.

[ Reply to This ]


30 Day Notice Requirement[ Reply to This ] (none / 0) (#4)
by Anonymous User on Mon Sep 13, 2004 at 02:51:07 PM PDT

My company is a software developer directly affected by the "30 day notice" requirement in the AutoCAD 2005 EULA. I think the requirement is outrageous, and my view is shared by at least 3 respected IP attorneys with whom I discussed it. In my case, our customers had to wait an additional 30 days for upgrades to our interoperable product because we complied with the EULA requirement by waiting 30 days before beginning reverse engineering work necessary for our product to remain compatible with the new version of AutoCAD. It's difficult to quantify the cost to our company that this requirement imposes, but clearly it affects our ability to keep our customers satisfied, and thereby also affects our ability to do business.

Our attorneys think the 30 day notice requirement is unenforceable and illegal, but we did send a notice to Autodesk immediately upon receiving AutoCAD 2005. Autodesk responded with a long boilerplate form which they expected us to complete and return -- that serving as the actual "notice". The form asked for information that I feel went way beyond what would be necessary for Autodesk to evaluate our needs. We never replied, since we had already met the terms of the notice requirement with our initial letter.

Not only is this particular clause of the EULA outrageous, but if consumers and regulatory agencies accept this dangerous precedent then Autodesk can easily bypass all the legal rights normally granted to consumers under copyright laws by simply increasing the length of time under its notice requirement clause from 30 days to, say, 3 years.

The actual impact of this clause is real and tangible, though not immediately and directly obvious to the average consumer. The potential impact is devastating, and IMO worth a closer look in your blog. Im admittedly a bit biased, but I think minus 10 would be an approriate score for that ridiculous clause in the AutoCAD 2005 EULA.

[ Reply to This ]



Re: 30 Day Notice Requirement[ Parent | Reply to This ] (none / 0) (#5)
by Ed Foster on Mon Sep 13, 2004 at 04:19:36 PM PDT

Well, IMO, you're right -- it is worth a closer look in my blog. I'd appreciate it if you could write me directly at Foster@gripe2ed.com so I can get more details of your experience. -- Ed Foster

[ Parent | Reply to This ]


hi[ Reply to This ] (none / 0) (#10)
by Anonymous User on Thu Feb 02, 2006 at 01:53:32 PM PDT

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[ Reply to This ]


aderalahoo.com[ Reply to This ] (none / 0) (#14)
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wslaat[ Reply to This ] (none / 0) (#15)
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