Vendors, users, government, members of the legal profession and industry participants generally will have to work together to allow the full potential of these new technologies to be accessed and used. Some of the issues surround development of standards and best practice in the areas of security, interoperability, escrow, data transfer and privacy. An industry focus on defining first problems and then solutions to these practical impediments to rolling out Cloud solutions will assist vendors and their customers alike.
In light of the additional layers of risk, and particularly in light of data and privacy issues, business users of Cloud services will need to very carefully consider the terms of service and associated commercial and compliance issues. For the most powerful (largest) customers - negotiating terms of contracts will be important. For those with less bargaining power a careful consideration and comparison of the trading terms of multiple vendors will be essential.
Read Part 1 of Legal issues in the Cloud.
Read Part 2 - Data sovereignty.
Read Part 3 - Due dilligence.
Mark Vincent is the lead technology and intellectual property partner and Nick Hart is a senior lawyer with Sydney based new economy law firm, Truman Hoyle.
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