Today’s Corporate Darwinism puts IP at risk
Jan 04, 2010

There has never been a clearer example of Corporate Darwinism than today’s economy. And there is no end in sight. The winners in this evolutionary process are not necessarily the strongest or the fastest, but rather those that can most effectively adapt to new circumstances.

To adapt, businesses need to quickly figure out how to outsource, off-shore, and virtualize the workforce to cut costs and find top expertise and talent within the global resource pool. These same businesses need to find new ways to work with each other and customers via distributed tools like software as a service (SaaS) and cloud computing.

This “survival of the fittest” atmosphere is posing serious threats to digital security. Company-sensitive information is exposed, leading to more copying, piracy, and theft. And the risk of losing vital software Intellectual Property (IP) has never been higher. The loss of these vital digital assets can mean the loss of a competitive advantage or even the loss of their business.

More than one-third (34 percent) of U.S. companies in a recent survey said they had suffered from the leakage of sensitive or embarrassing data in the past 12 months. Forty-three percent said they had investigated a suspected leak of sensitive data via email, and 34 percent had investigated a violation of data protection regulations or privacy in the past year. More than one-third said customer data was exposed or stolen, and 28 percent said they had been hit by exposure or theft of their intellectual property(1).

In July 2009, a Former Goldman Sachs computer programmer was arrested and charged with stealing codes related to a high-speed trading program that he helped develop. In March 2008, a former Motorola software engineer was stopped at O'Hare airport before boarding a one-way flight to Beijing with more than 30 compact data storage devices containing stolen files with $600 million worth of corporate secrets. Those thefts are reminders that almost every modern organization has some IP subject to attack and theft.

A 2009 Purdue University Krannert School of Management study concluded that, “Business failures, mass layoffs, decimated markets and a poor economic outlook will lead to a vastly increased number of financially desperate current employees and laid-off staff stealing valuable corporate information, both for financial gain and to improve their job opportunities.” In fact, forty-two percent of the study respondents said that laid-off employees are the biggest threat to their companies during this economic crisis.

Companies are clamoring for a solution that will allow them to adapt to this new economic landscape. Today, businesses are foregoing critical opportunities, incurring significant costs for proprietary solutions OR they are exposing their software IP and company-critical information. Businesses need a solution that helps protect their IP when developing software, during due diligence, in M&A cycles, during IP litigation, and within software escrow.


Chaperon’s patent-pending software security solutions provide protection for IP (source code) – no matter where it travels or who is working on it. Chaperon encapsulates and isolates IP at all times with an audit trail so it cannot be compromised:


Chaperon solutions can be implemented on the cloud, as software-as-a-service (SaaS), or within an internal IT infrastructure. We offer cost-effective solutions with a quick, scalable process to set up and add users. And our “always on” solutions create minimal impact, i.e., they impose no special requirements on users’ toolsets or productivity.

Chaperon solutions are known for helping companies:

To learn more about how this technology can help protect your clients, check out our website or contact us today for a free consultation.


(1) Proofpoint: "Outbound Email and Data Loss Prevention in Today's Enterprise" survey.

Posted By Ashif Dhanani | Comment

Is insider threat real?
Dec 09, 2009

Insider threats are very real!  Why is it that once a total stranger is hired at your company, you now have complete trust in that person? Just because a person is now called an employee does not mean he now has loyalty to your organization and would do nothing to hurt it. We do not want to be so paranoid that your company cannot function, but a healthy dose of paranoia is good. Security expert Dr. Eric Cole, Ph.D., tells us that the average monetary loss of cases he works on is estimated at $350 million yearly. Insider threat is happening, and the sooner organizations identify the problem, the easier it is to fix. Chaperon technology can help ease your paranoia with tools to track and eliminate many insider threat activities.

Read more at…

Posted By Ashif Dhanani | Comment

The next evolution of IP litigation escrow
Nov 30, 2009

During the discovery process, defendants must satisfy the court-prescribed discovery requirements while protecting their valuable IP. Plaintiffs, on the other hand, need easy and reasonable access to that same information in order to prepare their case. To satisfy these requirements in Intellectual Property (IP) litigation cases, parties use an escrow process that has some inherent inconveniences.
Currently, an escrow agent acting as a neutral third party provides and manages a secure, locked-down, and controlled physical “clean room” that allows plaintiffs the opportunity to access and examine all pertinent IP. This is normally a secure room in the escrow agent’s office -- or a trusted partner’s office if the escrow agent does not have presence in the city where the discovery is taking place. In that case, the locked-down system containing the IP has to be physically shipped via traditional means. This means:

• The expert witnesses currently have no option to securely inspect the IP from the comfort of their home or office.
• The expert witnesses might have to travel and work during the “office hours” of the host agent, incurring charges for flights, accommodations, local transportation, and meals – not to mention the inconvenience to witnesses.
• There is a risk of losing or damaging the system with the IP being shipped to and from the inspecting location.
• Modifying or adding additional materials for discovery at a later date is costly.
• The IP residing in the physical system used by the inspector could be compromised.
• Inspectors are only allowed access to IP via limited toolsets like basic editors or PDF viewers.

New technology is NOW available from Chaperon LLC that offers a better way to handle IP Litigation escrow -- allowing multiple parties to inspect source code or other IP remotely and simultaneously from multiple geographic locations.
Here’s how it works: A “golden” or master copy of the IP is first placed in 
Chaperon Secure™ Active Escrow -- making it virtually impossible to copy or pirate. The IP owner is allowed to add and/or update the source code at any time. Chaperon Secure™ Inspecting Station can then be used by multiple parties to browse, view, and inspect the contents simultaneously anytime, anywhere – eliminating expensive network connections and the cost of travel. Source code is fully protected during transport and only authorized parties can inspect the code.
Chaperon technology:

•  Allows the choice of in-office or remote secure inspection of the source code.
•  Eliminates need for dedicated, expensive network connections.
•  Protects the rights of both the IP owner and inspecting parties.
•  Eliminates the risk of shipping IP on systems via couriers.
•  Eliminates the risk of having the IP on physical systems used by the inspectors.
•  Allows expert teams to interact and inspect source code without being able to copy or compromise it.
•   Enables code inspectors to navigate and search the files of the escrowed code using powerful, yet easy to use  Graphical User Interfaces provided by the Chaperon Secure IDE.
•  Protects escrowed code from third-party interaction while being reviewed by code inspectors.

To learn more about how this breakthrough technology can help protect your clients, check out our website [] or contact us today [] for a free consultation.

Posted By Ashif Dhanani | Comment

Protect your clients Escrow from today’s cloud computing pitfalls
Nov 16, 2009

Your clients may be unaware that they are in the path of the perfect storm. Today’s massive economic crisis has collided with the allure of new software delivery models, putting many businesses at risk. 

Delivery models like cloud computing and Software as a Service (SaaS) are here to stay. In fact, Gartner says the SaaS market is expected to more than double, with revenue reaching $14.8 billion in 2012.  These models’ promises of lower cost ownership and quicker time to deployment are certainly attractive to any business. 

But, add today’s economic climate to the mix and those promises are quickly broken. Rampant vendor consolidation, mergers, business insolvencies, contractual issues, and business disagreements can result in the loss of application functionality and access to all of your client’s proprietary data. As we all know, this can happen whether you’re working with start-ups or industry leaders. 


That’s why Forrester analyst Liz Herbert advises companies to make sure their legal team is “involved in SaaS negotiations as SaaS contracts today are more like marriages than experimental flings.”
Software escrow can protect your clients from this storm – as long as the escrow technology takes the cloud computing/SaaS paradigm into account. According to a recent ThinkStrategies white paper, “This means employing escrow services that can not only store and secure valuable source code, but also continuously track changes, allow inspection of the real-time version of the source code and ultimately ensure that the source code can be built into an up-to-date, working version of the software.”
Chaperon Secure Active Escrow technology can help protect your clients from today’s cloud computing pitfalls. This patent-pending technology allows your client and its software provider to set up a secure, central repository for source code and mission-critical data that can be updated regularly and in real time. Version control features keep track of changes and give your client the ability to roll forward or backward to the version of their choice. Plus, detailed content and activity reports give all parties an accurate view of repository functions. 

To learn more about how this technology can help protect your clients, check out our website or contact us today [] for a free consultation. We look forward to explaining how our technology can help your clients weather the perfect storm. 

Posted By Ashif Dhanani | Comment [2]

Ex-Ford Engineer Indicted for Allegedly Stealing Company Secrets.
Jul 28, 2009

Yet another major corporation may have been the victim of one of its own stealing trade secrets: A former Ford Motor engineer has been indicted for allegedly stealing thousands of sensitive documents from the company and copying them onto a USB drive before taking a job with another auto company.
This could be have been avoided if the Ford had deployed a Chaperon technology solution. To protect your IP, visit or contact today.

Posted By Randy Walton |

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