Tally Licensing : How to Actvite, Update and Surrender

Tally Licensing is one of the best thing for Tally and the most unique licensing system for stopping software piracy. In fact Tally is one of those software companies who had succeeded in stopping the piracy of software by implementing innovative licensing system.
Although it has proved a boon to company but is has been a bane for the users. This licensing system has raised difficulties for its users. According to Mr Bharat Goenka , Managing Director Tally India, life of pirated user is more easier the original user. All the hardship of licensing are faced by original user.
Many of Tally users have asked me about licensing related problem from time to time.These are related to activation of license, surrender of license and the updation of license. Lets understand the licensing process to solve the problems faced.

The Process of Licensing
After Installing Tally, you have to activate the license. Activation of license actually puts the signature of your computer into Tally's server. The signature, which contains information related to version of operating system, the hardware installed, the machine name etc is stored in Tally's server against your serial no. That serial no. is blocked against any other installation preventing duplication of your license. Internet is needed to send the signature file to Tally's server. In response to the entry a file is sent to the computer which is stored in the same folder where Tally is installed. This file is stored as tally9.lic in same folder where tally is installed.
There are two ways to activate the license. Online and Offline. Computer with direct internet connection can activate the license by online process. Those computers which has no direct internet have to follow offline process.