How to include BSD licensed component in my project

Question

I want to use a software which is licensed under the BSD, in my project.

I come up with two ways.

1. I create a directory for this component and copypaste the original LICENSE.txt file in this directory, and create a LICENSE.txt file for the whole system in the project directory.
2. I create only one LICENSE.txt in the main directory and describe which component is under what license.

Would you tell me the right way?

Answer 1

BSD license says

... 1. Redistributions of source code must retain the above copyright notice, this list of conditions and the following disclaimer. ...

So the full license text must be available somewhere. The license does not state where to put the text or how to name the files containing it, or that there needs to be a file containing the text exclusively. So if by #2 you mean just to name the license in that file, that would be not enough. But if you mean "copy-pasting the full text", then this would be enough. #1 will be probably easier, though.