Buying used software licenses legally
Many companies pay more for Microsoft licenses than they need to, because the used market is considered a gray area. It is not. This page explains how the trade works, which documentation belongs with it and what to watch for when you buy.
What a used license is
A used license is a right of use that a company once acquired permanently and no longer needs. Typical reasons are a move to different systems, a site closure or a smaller workforce. The right of use continues to exist and may be passed on.
Technically this license is no different from a newly bought one: same software, same updates, same feature set. The difference lies in the price and in the fact that a clean proof of origin has to be supplied with it.
Why a perpetual license pays off
A subscription costs money every month and ends with the last payment. A perpetual license is paid once and you use it for as long as the version is in support. With a used volume license the entry price is lower still, so the point at which it pays for itself comes sooner.
The rule of thumb from practice: if you run an application in the same version for longer than about three years, the perpetual license works out cheaper. With a used volume license that threshold moves forward again, because the entry price sits well below list. Multiply your monthly amount by 36 or 60 months and set it against the one-off price.
Which licenses can be transferred
Not every type of license can be passed on. That distinction decides whether a purchase is legally sound.
Transferable
- Volume licenses from Open License and Open Value programs
- Perpetual licenses that were paid for once
- Server and client access licenses from the European Economic Area (EEA)
- Individual licenses from volume agreements that can be split
Not transferable
- Subscriptions with a recurring fee, such as Microsoft 365
- Licenses from countries outside the European Economic Area
- Education and government licenses tied to a defined group of users
- Developer licenses from subscription programs
How to recognize a reputable provider
Four questions you should put to any provider before you buy.
Where does the license come from?
A reputable provider names how the license was acquired and can document its origin.
Is there a confirmation of deletion?
The previous owner has to confirm in writing that they no longer use the software.
Is the chain of title complete?
Every intermediate step from the first purchase to you has to be documented.
Does the license come from the EEA?
The exhaustion principle applies only within the European Economic Area (EEA).
Server + CAL or core-based licensing
With server products the licensing model decides four-figure sums. Which one is cheaper hangs on a single question: is the number of people accessing the server known? We set both variants against each other using your figures.
The threshold sits where the sum of the client access licenses becomes more expensive than the core licenses. As soon as an application is reachable from outside, a web shop or a customer portal for instance, the number of people accessing it can no longer be determined and core-based licensing is the only option. Tell us your user numbers and your hardware and we will set both models against each other.
The most common oversight: the forgotten third license
Anyone working on a server through remote desktop needs three licenses rather than two. Access works technically without the third one, but in a license audit the gap comes to light reliably.
The gap does not show up technically: once the 120-day trial period has expired, the Remote Desktop service refuses new connections until valid client access licenses are stored on a licensing server. Until then everything carries on unremarkably, and it is precisely in that window that the licensing gets overlooked in many environments.
Frequently asked questions
Is buying used licenses really lawful?
Yes, and it is confirmed at the highest judicial level. In 2012 the Court of Justice of the European Union ruled that permanently acquired software licenses may be resold. The German Federal Court of Justice confirmed this for Germany and expressly for Microsoft volume licenses.
Does the software work exactly like a new one?
Yes. It is the same software with the same feature set. You receive security updates to the same extent as with a newly bought license.
Does Microsoft have to approve the purchase?
No. Under the case law the manufacturer's consent is not required, and there is no obligation to register either.
How much do I save against buying new?
The gap to list price is considerable and depends on product, version and quantity. Tell us what you need and we will work out the concrete difference for you.
What happens in a license audit?
You present the documentation you received with the license. It proves the complete chain of title and thereby the lawfulness of your use.
Do you buy licenses too?
Yes. If your company no longer needs its licenses, we value your holdings and make you an offer. You will find the details on our page about selling licenses.
Read on and compare
Three pages that are typically needed next at this point.
Is used software really lawful?
The rulings of the CJEU and the German Federal Court of Justice in plain language, the four limits of what is permitted and the documents that actually count in a license audit.
Buy used Microsoft licenses
Our current stock by product family: Windows Server, client access licenses, Office, Project and Visio. With the end-of-support date and license type on every entry.
Terms and articles
Twelve terms from licensing paperwork explained in plain language, plus articles on client access licenses, support deadlines and license audits.
Ask us for the right licenses
Tell us the product and the quantity. You will receive a concrete, no-obligation quote.