Method and system for controlling distribution of software in a multitiered distribution chain

A method for controlling distribution of software in a multitiered distribution chain, the multitiered distribution chain including at least one entity who distributes the software, the method comprising the steps of:

• (a) distributing encrypted software;
• (b) registering the encrypted software and the identity of the at least one entity with a license clearing house;
• (c) providing a user with the encrypted software;
• (d) receiving an authorization request by the at least one entity from the user;
• (e) signing the authorization request with a signature of the entity.
• (f) passing the authorization request to the license clearing house;
• (g) validating the signature of the at least one entity and the authorization request by the license clearing house;
• (h) signing a master key with a signature of the license clearing house;
• (i) transmitting the signature of the license clearing house and the master key to the at least one entity;
• (j) validating the signature of the license clearing house and passing the master key from the at least one entity to the user;
• and
• (k) using the master key to decrypt the software.