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Vol 7 No 1 - Roger Williams University School of Law

Vol 7 No 1 - Roger Williams University School of Law

Vol 7 No 1 - Roger Williams University School of Law

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similarities as well as differences between information and goodscontracts) is frequently overlooked in the literature proclaimingthe need for an entirely separate body <strong>of</strong> information law.14Third, the critical decision to separate goods from s<strong>of</strong>twareand information during the drafting process was not, as somehave portrayed, the result <strong>of</strong> a determination that contract issuessurrounding the licensing <strong>of</strong> information were so distinct fromthose involving the sale <strong>of</strong> goods that a different body <strong>of</strong> ruleswere required. By 1995, the drafting committee originallycharged with responsibility in the field was prepared torecommend a “hub-and-spoke” treatment for goods andinformation. A central core <strong>of</strong> basic contracting principlesgoverning all transactions (sales, leases, licenses and possiblyother transactions such as services) would be combined withspecific rules where needed. <strong>No</strong>netheless, in 1995 the leadership<strong>of</strong> the National Conference <strong>of</strong> Commissioners on Uniform State<strong>Law</strong>s made the surprising announcement that it was abandoningattempts to treat s<strong>of</strong>tware within Article 2, and was insteadcreating a new Drafting Committee (the Article 2B DraftingCommittee) with a new reporter to draft a new statute on thelicensing <strong>of</strong> information.15 This split was not justified on thegrounds that information and s<strong>of</strong>tware were significantlydifferent, but rather on the basis that the logistics <strong>of</strong> restructuringArticle 2 into a hub with spokes would require extraordinary timeand resources.My perception is that an additional, unarticulated motive wassurely behind this surprising decision. As long as sales ands<strong>of</strong>tware were being handled by the same Drafting Committee,14. See, e.g., Nimmer, Looking Glass, supra note 9. Pr<strong>of</strong>essor Nimmer examinesthe cases struggling with which law (Article 2 or common law) to apply to informationtransactions, but <strong>of</strong>ten fails to examine why the question is important. Asking whetherthe licensing <strong>of</strong> information is the same as, or different from, the sale <strong>of</strong> goods is thesame as asking “is the glass half empty or half full.” The answer is “it depends.” If oneis in need <strong>of</strong> a drink, the salient fact is that there is something in the glass (it is halffull); if the question is whether to refill the glass, the salient fact is that it is halfempty. In the context <strong>of</strong> UCITA, the question is not whether licensing <strong>of</strong> information isdifferent than sales <strong>of</strong> goods, but whether those differences in the transactions justify adifference in the applicable legal rule.15. It is noteworthy that this important step was taken by the leadership <strong>of</strong> theNCCUSL with minimal input from its partner in the Code revision process, theAmerican <strong>Law</strong> Institute, and with minimal input from the Chair, Reporter or DraftingCommittee on Article 2. For a diplomatic account <strong>of</strong> the failure <strong>of</strong> the hub-and-spokeapproach, see Speidel, Trenches, supra note 12, at 612-15.

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