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Q: Procedures to acquire rights to sell re-branded Open Source products. ( Answered 5 out of 5 stars,   0 Comments )
Question  
Subject: Procedures to acquire rights to sell re-branded Open Source products.
Category: Computers
Asked by: arun_p-ga
List Price: $100.00
Posted: 18 Apr 2006 00:23 PDT
Expires: 18 May 2006 00:23 PDT
Question ID: 720073
Hi,

I am planning to re-brand these below listed open source products. I
would like to know the detailed process of acquiring the rights for
doing the same. I would be charging the customers for the tech and
installation support we will be providing.

I know that in fact all these products allow me to re-brand them and
also allow me to charge for the services i provide. But, i needed to
know the clear step by step procedures to acquire these rights for
each of the products individually to doing so.

So, i need these details for the below listed open source products:-

a) Open Office.

b) Clamwin Antivirus / ClamMail

c) Winpooch (Anti Spyware)

d) Ccleaner / Eraser 

e) Gimp / Inkspace / Dia / Blender

f) 7zip

g) Amanda Backup

So, i need the complete legal formalities i need to follow and any
limitations i will have while re-branding them. I know that "Star
Office" or "E-press ONE" are using Open office and also clamwin, file
zilla etc. But, i wanted a correct legal opinion for to me establish
any kind of contracts with them before i start reselling the products.

Thanks,

Arun.
Answer  
Subject: Re: Procedures to acquire rights to sell re-branded Open Source products.
Answered By: leapinglizard-ga on 19 Apr 2006 14:33 PDT
Rated:5 out of 5 stars
 
Dear arun_p,


Most of the software packages you have listed are indeed open-source
products that permit users to modify and sell them. I shall enumerate
the packages in the order you gave them and describe the license under
which each one is published.


a) OpenOffice

The official OpenOffice website states that its software is made available
under the GNU Project's Lesser General Public License.

    OpenOffice.org uses a single open-source license for the source
    code and a separate documentation license for most documents
    published on the website without the intention of being included
    in the product. The source-code license is the GNU Lesser General
    Public License.

OpenOffice.org: Licenses
http://www.openoffice.org/license.html

The full text of this license, which is called the LGPL for short, can
be read on the following page. I shall quote its most important sections.

    0. This License Agreement applies to any software library or other
    program which contains a notice placed by the copyright holder
    or other authorized party saying it may be distributed under
    the terms of this Lesser General Public License (also called
    "this License"). [...]

    1. You may copy and distribute verbatim copies of the Library's
    complete source code as you receive it, in any medium, provided
    that you conspicuously and appropriately publish on each copy an
    appropriate copyright notice and disclaimer of warranty; keep
    intact all the notices that refer to this License and to the
    absence of any warranty; and distribute a copy of this License
    along with the Library.

    You may charge a fee for the physical act of transferring a copy,
    and you may at your option offer warranty protection in exchange
    for a fee.

    2. You may modify your copy or copies of the Library or any
    portion of it, thus forming a work based on the Library, and
    copy and distribute such modifications or work under the terms
    of Section 1 above, provided that you also meet all of these
    conditions:

        a) The modified work must itself be a software library.

        b) You must cause the files modified to carry prominent
        notices stating that you changed the files and the date
        of any change.

        c) You must cause the whole of the work to be licensed
        at no charge to all third parties under the terms of
        this License.

GNU Project: GNU Lesser General Public License: Terms and Conditions
for Copying, Distribution and Modification
http://www.gnu.org/licenses/lgpl.html#TOC3

In essence, then, you are permitted to modify and sell the software
as long as you distribute your derived product with the same license,
namely the LGPL, and you include documentation of changes you have
made to the original software. There is no need for you to acquire any
additional rights or to establish a contract with the authors in order
to modify and sell their software, since the license under which they
publish the software explicitly gives everyone the right to modification
and distribution.

The major restriction this imposes on your commercial efforts is that
your derived product must also be published under the LGPL, which means
that you cannot legally prevent anyone from modifying and selling your own
version of it. There is no way around this restriction. The very purpose
of the LGPL is to ensure freedom of the software and all its derivatives.

Furthermore, the LGPL requires that you make available the source code
of your derived product. It is not necessary to include the source code
with the product itself, but you must at least include a written notice
telling users how they can freely obtain the source code. Don't forget
that you must, at the same time, clearly advertise the fact that your
product is being released under the LGPL. This is made clear in the
preamble of the LGPL.

    For example, if you distribute copies of the library, whether
    gratis or for a fee, you must give the recipients all the rights
    that we gave you. You must make sure that they, too, receive or
    can get the source code. If you link other code with the library,
    you must provide complete object files to the recipients, so
    that they can relink them with the library after making changes
    to the library and recompiling it. And you must show them these
    terms so they know their rights.

GNU Project: GNU Lesser General Public License: Preamble
http://www.gnu.org/licenses/lgpl.html#TOC2


b) ClamWin, ClamMail

ClamWin's home page states the following.

    ClamWin Free Antivirus uses the GNU General Public License by
    the Free Software Foundation and is free (as in freedom) software.

ClamWin: About
http://www.clamwin.com/content/view/71/63/

This software package is released under the GPL, which is a stronger
version of the LGPL. The preamble of the LGPL summarizes the difference
as follows.

    Although the Lesser General Public License is Less protective of
    the users' freedom, it does ensure that the user of a program that
    is linked with the Library has the freedom and the wherewithal
    to run that program using a modified version of the Library.

    The precise terms and conditions for copying, distribution
    and modification follow. Pay close attention to the difference
    between a "work based on the library" and a "work that uses the
    library". The former contains code derived from the library,
    whereas the latter must be combined with the library in order
    to run.

GNU Project: GNU Lesser General Public License: Preamble
http://www.gnu.org/licenses/lgpl.html#TOC2

What you are proposing to do is not to write code that links to a software
package, but to modify the software package itself and sell it. Therefore,
there is no difference in your case between the conditions imposed by the
LGPL and the GPL. Both licenses make the same requirements of software
publishers who wish to modify and sell a package that has been released
under the license.

Again, there is no need to acquire further rights or to establish
a further contract. You are simply required to release your derived
product under the same license, inform users that it is released under
the license, and make the source code of the derived product freely
available to anyone who wants it.

The GNU Project's FAQ on the GPL addresses the subject of selling software
under this license.

    Does the GPL allow me to sell copies of the program for money?

        Yes, the GPL allows everyone to do this. The right to sell
        copies is part of the definition of free software. Except 
        in one special situation, there is no limit on what 
        price you can charge. (The one exception is the required 
        written offer to provide source code that must accompany
        binary-only release.)

    Does the GPL allow me to charge a fee for downloading the program
    from my site?

        Yes. You can charge any fee you wish for distributing 
        a copy of the program. If you distribute binaries by
        download, you must provide "equivalent access" to download
        the source--therefore, the fee to download source may 
        not be greater than the fee to download the binary. 
    
    Does the GPL allow me to require that anyone who receives the
    software must pay me a fee and/or notify me?

        No. In fact, a requirement like that would make the
        program non-free. If people have to pay when they get
        a copy of a program, or if they have to notify anyone
        in particular, then the program is not free. See the
        definition of free software.

        The GPL is a free software license, and therefore it
        permits people to use and even redistribute the software
        without being required to pay anyone a fee for doing so.

    If I distribute GPL'd software for a fee, am I required to also
    make it available to the public without a charge?

        No. However, if someone pays your fee and gets a copy, the
        GPL gives them the freedom to release it to the public,
        with or without a fee. For example, someone could pay
        your fee, and then put her copy on a web site for the
        general public. 
    
GNU Project: Frequently Asked Questions about the GNU GPL: Does the GPL
allow me to sell copies of the program for money?
http://www.gnu.org/copyleft/gpl-faq.html#DoesTheGPLAllowMoney

GNU Project: Frequently Asked Questions about the GNU GPLQ
http://www.gnu.org/copyleft/gpl-faq.html
    
There is also a separate page devoted to the philosophy of selling
GPL'd software.

    Actually we encourage people who redistribute free software to
    charge as much as they wish or can.

    [...]

    Except for one special situation, the GNU General Public License
    (20k characters) (GNU GPL) has no requirements about how much
    you can charge for distributing a copy of free software. You can
    charge nothing, a penny, a dollar, or a billion dollars. It's up
    to you, and the marketplace, so don't complain to us if nobody
    wants to pay a billion dollars for a copy.

GNU Project: Philosophy: Selling Free Software
http://www.gnu.org/philosophy/selling.html


ClamMail, although it is authored independently from ClamWin, is also
released under the GPL. Therefore, exactly the same conditions apply if
you wish to modify and sell it: you must preserve the license, notify
users of the license, and make the source code freely available.

    Features: [...] Licensed under GNU General Public License

BranSoft: ClamMail: Features
http://www.bransoft.com/clammail/en/features.html


c) Winpooch

Winpooch is also released under the GPL, so you can modify and sell it
under the conditions I have outlined above.

    License: GNU General Public License (GPL)

Winpooch: Home
http://winpooch.free.fr/home/index.php


d) CCleaner, Eraser

CCleaner is not, in fact, an open-source software package. It is freeware,
which is not the same thing.

    CCleaner is a freeware software optimization and privacy
    application for Microsoft Windows.

Wikipedia: CCleaner
http://en.wikipedia.org/wiki/CCleaner

The similarity between freeware and open source is that both types of
software may be freely downloaded by users. However, freeware does not
necessarily allow for modification and redistribution.

    The only criterion for being classified as "freeware" is
    that the software must be made available at no cost. The
    software license may impose other restrictions that limit the
    user's freedom. Freeware and "free software" are not the same
    thing. The former rules out payment for transmission of a copy,
    while the latter explicitly grants the freedom to sell copies
    of the software. The GPL v 2.0 states, "You may charge a fee
    for the physical act of transferring a copy," and stipulates
    that you are not allowed to withdraw this right from anyone who
    receives a copy: "you must give the recipients all the rights
    that you have". However, "free software" is often confused with
    freeware. "Free software" is a term often used in reference to
    software released under the GPL or other open source licenses
    promoted by the Free Software Foundation (FSF).

Wikipedia: Freeware: Freeware licensing
http://en.wikipedia.org/wiki/Freeware#Freeware_licensing

Hence, you do not have permission to modify and sell CCleaner, nor is
there any set procedure for acquiring this permission. You will have
to contact the authors if you wish to negotiate some kind of commercial
agreement with them.

Eraser, on the other hand, is indeed an open-source product. The GPL
permits you to modify and resell it without acquiring further rights.

    Q: "Can I use Eraser source code in my own programs?"

    A: The source code can be used, modified and redistributed
    under the terms of the GNU General Public License (included
    with the code). Basically, you may use Eraser source code in
    your own programs as long as you release your source under the
    same license. I would also appreciate a note if you use the code.

Sami Tolvanen: Eraser: FAQ
http://www.tolvanen.com/eraser/faq.shtml

    The full source code for Eraser 5.7 is released under GNU General
    Public License.

Heidi Computers: Eraser: Source
http://www.heidi.ie/eraser/source.php


e) GIMP, Inkscape, Dia, Blender

GIMP, Inkscape, Dia, and Blender are all released under the GPL. You are
free to modify and sell them as long as you comply with the requirements
of the license, which I have previously explained. You may also be
interested in the GIMP website's page of "Recommendations for those who
sell copies of the GIMP," excerpted below.

    I it legal to sell copies of the GIMP?

    Yes. The terms and conditions for copying, distribution and
    modification of the GIMP are clearly listed in the GNU General
    Public License.  Redistribution for free or for profit is 
    specifically allowed, as long as the license is included and
    the source code is made available.

    [...]

    Recommendations for those who sell copies of the GIMP

    If you or your company intend to sell the GIMP, it would be nice
    to follow these guidelines: 

    1. Be honest. Do not try to hide the fact that the product
    that you are selling is or contains the GIMP. Mention it in
    any advertisement. 
    
    2. Add value. Try to provide more than what can be found in
    the default GIMP package. Include a nice installer, additional
    plug-ins, some nice artwork, some custom brushes and textures,
    your own tutorials and documentation, printed copies of the
    documentation, etc. There are many ways to add value to the GIMP
    and to make your customers happy.
    
    3. Respect the GPL. The GPL requires you to make the source code
    available. The best solution is to include the source code on the
    same medium as the GIMP installation package, but you can also
    include a written offer to supply the source code on request.
    Note that you cannot simply give a link to the GIMP ftp mirrors:
    it should be the exact source code that was used to compile the
    binary package that you are selling and you have to cover the
    costs of redistribution yourself. If you sell and distribute the
    binaries online, the GPL requires you to make the source code
    available "from the same place" so giving a link to the GIMP
    mirrors is not sufficient (see also this section of the GPL FAQ).

    4. Support your users. If the version of the GIMP that you
    are selling is modified in any way, you should inform your
    users and try to handle the support requests related to that 
    version. Providing good support is another way to make your
    customers happy.

    Finally, think about giving something back. If the software
    created by many volunteers helps your business, it would be nice
    to return the favor by helping the developers. You can contribute
    by sending some improvements to the code or by sponsoring
    some events such as the GIMP developer's conference. This is
    not required, but happy developers are more likely to create a
    better product that you can sell later...

GIMP: Selling the GIMP
http://www.gimp.org/about/selling.html

    License: GPL

Wikipedia: Inkscape
http://en.wikipedia.org/wiki/Inkscape

Sourceforge: Inkscape
http://sourceforge.net/projects/inkscape/

    Dia is a gtk+ based diagram creation program released under the
    GPL license.

Dia: a drawing program
http://www.gnome.org/projects/dia/

    Blender is being released with source codes under the GNU General
    Public License.

    Blender therefore is fully free to use and distribute within
    any educational, professional or commercial environment.

Blender: Features
http://www.blender3d.org/cms/Features.155.0.html


f) 7-Zip

7-Zip is released under the Lesser GPL, or LGPL, just like OpenOffice. As
I explained earlier, the provisions of the LGPL are the same as those of
the GPL if you wish to sell a copy or a modified version of the licensed
software. Thus, you are free to modify and sell 7-Zip if and only if your
derived product is also under the LGPL (or GPL), you advertise this fact
in your distribution, and you make the source code freely available.

    7-Zip is free software distributed under the GNU LGPL.

7-Zip: Home
http://www.7-zip.org/


g) Amanda

Amanda is open-source software that comes with its own license, which
I quote below.

    Permission to use, copy, modify, distribute, and sell this
    software and its documentation for any purpose is hereby
    granted without fee, provided that the above copyright notice
    appear in all copies and that both that copyright notice and
    this permission notice appear in supporting documentation, and
    that the name of U.M. not be used in advertising or publicity
    pertaining to distribution of the software without specific,
    written prior permission.

Amanda: Copyright
http://www.amanda.org/copyright.php

Thus, you may modify and sell Amanda without securing further rights or
establishing a further contract as long as your derived product retains
the copyright notice. In effect, you are bound by the same restrictions
as the GPL, since you cannot prevent anyone from modifying and reselling
the product you have derived from Amanda. In addition, the copyright
notice stipulates that you may not refer to the University of Maryland,
where Amanda was developed, in your marketing materials. 
    
    
I have enjoyed answering your question. If you have any concerns about
the accuracy or completeness of my research, please advise me through
a Clarification Request and give me a chance to fully meet your needs
before you rate this answer.


Regards,

leapinglizard


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Request for Answer Clarification by arun_p-ga on 21 Apr 2006 00:46 PDT
Dear leapinglizard,

Thank you so much for your detailed reply. I really appreciate the
time and effort you have put in to answer my question. But, the only
problem is these answers we also knew, see the main reason i put in
this query for the softwares below is to get a simple steps we have to
take to inorder to resell the rebranded products.

I would request you to put it in simple terms/steps that we have to
follow inorder to sell the rebranded product. What i need a very
simplified step to step procedures we have to follow, coz we get lost
in these legal details, i am just a tech-geek, legalities isn't my
cup.

I will rellay appreciate an early reply and assure you a full star
rating on receiving your reply.

Thanks,

Arun_p

Clarification of Answer by leapinglizard-ga on 21 Apr 2006 06:34 PDT
Here are four simple steps to rebranding software that is covered by
the GPL or LGPL open-source license.

1. Modify the software in any way you like.

2. Add a notice to the software release, in the form of a CHANGES.TXT
file, listing the approximate date and general nature of any changes
you have made to the code.

3. Make sure you include the full text of the GPL or LGPL, whichever
is applicable, in your software release.

4. If you are releasing the software as a binary, include a notice, in
the form of a README.TXT file, telling users where they may download a
free copy of the source code for this software.

Following these steps will ensure that you are complying with the
terms of the open-source license.

In the case of Amanda, which does not use the GPL or LGPL, the
procedure is simpler. Here, it suffices to include a notice in your
software release, in the form of a COPYRIGHT.TXT file, that contains
the following text.

    Copyright (c) 1997, 1998 University of Maryland at College 
    Park, All Rights Reserved. Portions copyrighted by individual
    contributers, see the distribution for details.

    Permission to use, copy, modify, distribute, and sell this 
    software and its documentation for any purpose is hereby
    granted without fee, provided that the above copyright notice 
    appear in all copies and that both that copyright notice and 
    this permission notice appear in supporting documentation, and
    that the name of U.M. not be used in advertising or publicity
    pertaining to distribution of the software without specific,
    written prior permission.

Note that you are not allowed to mention the University of Maryland in
any marketing materials for your rebranded version of Amanda.

leapinglizard

Clarification of Answer by leapinglizard-ga on 21 Apr 2006 06:46 PDT
After rereading the GPL, I see that it imposes a further condition in
part 2(c). Let me add the following step.

5. If the original software is released under the GPL and if it
displays an announcement at start-up referring the user to the text of
the GPL, you must ensure that your rebranded software displays a
similar announcement every time it starts up.

You may include a link to GNU Project's HTML version of the license,
or you may copy the text version and include it direcly in your
software release.

GNU Project: GNU Lesser General Public License: HTML
http://www.gnu.org/licenses/lgpl.html

GNU Project: GNU Lesser General Public License: plaintext
http://www.gnu.org/licenses/lgpl.txt

GNU Project: GNU General Public License: HTML
http://www.gnu.org/licenses/gpl.html

GNU Project: GNU General Public License: plaintext
http://www.gnu.org/licenses/gpl.txt

leapinglizard

Request for Answer Clarification by arun_p-ga on 21 Apr 2006 20:57 PDT
Hi Leapinglizard,

Thanks for the simple steps you mentioned. So, i have to follow this
for all products right? Also wanted a tip from you, as to how can i
keep these notices/url/readme as discreet as possible, as you know if
the customer understands that it is Freeware, he may not buy from me
in the first place.

I have given you a full 5 star rating with a tip of  10%, i wanted
show my appreciation for your good work!

Cheers,

Arun.

Clarification of Answer by leapinglizard-ga on 21 Apr 2006 22:46 PDT
Thank you for the rating and the kind tip.

You do have to follow steps 1 through 5 above to comply with the terms
of the GPL and LGPL licenses, which cover all of the software products
you mentioned with the exception of CCleaner and Amanda. As I
mentioned earlier, CCleaner is not open-source, so you do not have
permission to modify it and sell it. Amanda has its own copyright
notice, which I reproduce above.

As to your desire to hide the open-source license, there are two
important points to keep in mind. First, customers will become angry
with you if you are not forthright about the open-source nature of a
software package you are selling, so it is not in your interest to be
evasive. You can override the customer's resistance to buying
open-source software by adding some real value to your rebranded
version. For example, you might include installation assistance, a
technical-support plan, and some kind of warranty in the purchase
price.

Second, the GPL requires you to "conspicuously and appropriately
publish on each copy an appropriate copyright notice" and to "keep
intact all the notices that refer to this License". It is obviously
illegal to remove the license altogether, but what exactly does it
mean to "conspicuously" publish a notice? As a rule of thumb, your
notice should be as conspicuous as that of the original software
package. For example, the GIMP does not inform you of the GPL every
time it runs, and the open-source license is not mentioned on the GIMP
home page. It would be perfectly appropriate for you to follow this
example.

Even if someone were to look around the GIMP website, as I did, and
discover that the software is released under the GPL, it would mean
little to them unless they were fairly savvy computer users. And if
they did know about the GPL, they would probably recognize your
rebranded version of the GIMP for what it was, which would render any
attempt at subterfuge futile. In the end, it is best for business
reasons as well as moral and legal ones to be just as frank about the
open-source license as the original software was.

A final tip: software released under the GPL or LGPL is not freeware,
so don't call it that. Open-source means free speech, and freeware
means free beer. The two are not the same. It is perfectly okay, and
even encouraged by the authors of the GPL and LGPL, to charge money
for distributing open-source software.

leapinglizard
arun_p-ga rated this answer:5 out of 5 stars and gave an additional tip of: $10.00
It was well answered and detailed explained. A great researcher, it
help me save hours and thousands of dollars. Google answers is a boon
to SMEs like us. Keep up the good work!

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