A transaction between two parties can be mediated by what you call an escrow agent; escrow on the other hand refers to an agreement made by two parties who entrust their valuables to the escrow agent. The valuables could be in a form of intellectual property, documents or money. The items that the agent is keeping will be protected until certain instructions are given to them. A software is believed to be in escrow if the source code of a particular file is protected by a third party or the escrow agent. The one capable for asking the agents to keep the software are the ones who will be using the software. Software escrow services are usually done by two parties which are both involved in a a software licensee transaction.
In order for programmers to make their own program they make use of source codes. For other types of programs the source code can be transferred in the different programs, with this you are able to use the whole application and install them in your device. Just by having a background about applications with executable source code will allow a person to devise their own program. If by any chance the makers of the software have violated any things stipulated in the contract like bankruptcy, obsolescence, inability to update the whole program then the agent has the power to disclose the source code that they can work with.
It is already a known fact that some people nowadays take advantage of other people. Oftentimes, the transaction involve significant amount of money. Since there is now an involvement of software and source code in an escrow contract, buyers of software can be assured that they are safe from those individuals who might lure them. The price or rate of creating software is increasing these days and one way to keep you safe whenever you purchase software through the use of software escrow services.
The clients are not just the one protected from fraud but also those who are makers of the program itself. Developing your own program and software is no joke, you will need to spend a great deal of time, money and effort in order to make a high quality output. The main objective of having an escrow agent is for both parties to have a mediator of the process who will be the one to setup the terms and conditions in the whole contract and of course both parties will be there to discuss everything in it as well. If by any chance any of the two parties involve in the contract have performed any breach of contract then the escrow agent has the right take action as mandated by the agreement.