The consequences of using unlicensed software

Nowadays quite difficult to find a company or organization that its activities do not use computers and software. According to Art. 433 CC of Ukraine, the copyright is owned, including computer programs. Computer programs are protected as literary works. Thus, all property and non-property rights in software belong to their authors and may used only with their permission.

Today Ukraine is one of the first places on the use of “pirated” software. This means that most of the enterprises installed computer programs without proper licenses and permits from the authors of those programs. What are the consequences if the relevant authority will establish the fact of using this software?

Administrative responsibility
Administrative responsibility under Art. 51-2 CAO – infringement of intellectual property object. According to this article, unlawful use of intellectual property (literary or artistic work, their performance, phonogram, broadcasting organization’s transmission, computer programs, databases, scientific discovery, invention, utility model, industrial design, trademark and services, topographies of integrated circuits, innovations, plant varieties, etc.), assigning authorship on such objects or another intentional infringement of intellectual property object protected by law, punishable by a fine ranging from ten to two hundred untaxed minimum incomes with the confiscation of illegally manufactured products and equipment and materials used for its production.


Criminal liability
Criminal liability under Art. 176 Criminal Code of Ukraine – a violation of copyright and related rights. According to an article brought to criminal responsibility persons for illegal reproduction, distribution of works of science, literature and art, computer programs and databases, as well as illegal reproduction, distribution, performances, phonograms and broadcasts their illegal copying an audio tarozpovsyudzhennya – and videocassettes, diskettes and other storage media, or other willful infringement of copyright and related rights, if caused material injury to a significant size.

It should be noted that bringing a person to administrative or criminal liability must prove intent to face the illegal use of software. In this case the computers and programs used for business enterprises are recorded on the balance sheet, in this case bear responsibility head of the company, unless otherwise provided by internal documents of the company.