What second-hand means when it comes to software
Second-hand software refers to a licence that has already been lawfully sold once and is now being passed on. The term sounds like used goods showing wear and tear, but that isn't quite right. Software does not wear out. A pre-owned licence activates the same software with the same features as one bought new.
This resale market is made possible by the principle of exhaustion. Once a licence has been sold with the manufacturer's consent, it may be resold. The ECJ ruling C-128/11 of 2012 confirmed this for the EU; in Switzerland, Art. 12 para. 2 CopA applies.
How the resale market works in practice
- Initial purchase by an owner. A licence is lawfully acquired, for example by a company or a private individual.
- Lawful transfer. If the licence is no longer needed, it may be passed on. The previous owner then no longer uses it.
- Inspection by the dealer. A reputable dealer tests the activation before the licence is resold and replaces a key free of charge should it ever fail to activate.
- Resale with proof of purchase. The new buyer receives the key and a VAT invoice as proof of purchase.



