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GPL interpretation for contracters?: msg#00023

law.gpl.violations.legal

Subject: GPL interpretation for contracters?

I have a couple questions about the GPL.
 
I work for a company that builds embedded hardware and a customer of ours wanted to sell us a patch to a GPL'ed piece of code.  This modification was designed and sold to our customer by another Linux service contracter for what I guess was a lot of money.  The issue is now moot since we engineered our own solution to the problem, but I have found myself somewhat curious as to the details of when GPL'ed code must be released to the public. 
 
For instance, our customer says they don't have to release the source code until if/when they would ever release a product based on it-- but what actually classifys a "product"?  I could almost believe the contracter liable to release the code since they sold it as a deliverable to a service contract or perhaps our actual customer since they're trying to sell us the patch?  (The "product" being the actual patch against GPL code)  Is anybody in violation?
 
It is no secret that a lot of our customers do not like the GPL and want to find ways around the license by abusing the "product" and "internal use" clauses.  As a hypothetical situation, whats to prevent our company from reclassifying itself as a service company (e.g. you're not buying a hardware "product" from us, you're contracting our services to build you a circuit board that you can use in your own product so you have to buy the GPL code from us through another service contract), and/or reclassifying our customers as "partners" and using the "internal use" clause to never release GPL sources?
 
Not that we would do any of this since the GPL works well for us, but honestly- if its possible, I would gratuitously recommend such GPL "work-arounds" to potential customers that are hesitant on using our product because of fear of GPL infringment.  While we understand the spirit of the GPL and we are more than happy to abide by that at our own company (it actually works well for us), we do not completely understand the subtleties of the letter of the GPL.  We were actually just quite taken aback by someone trying to sell us GPL'ed code.
 
//Jesse Off
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