Cloud service agreements are the agreements between a cloud service provider (who provides infrastructure as a service (IaaS), platform as a service (PaaS), or software as a service (SaaS)) and a customer drawn to set clear expectations regarding the performance, stability, and responsiveness of the software.
The CSA protects the customer’s access to data, minimises the expense of any required remedial action, and specifies what happens in an event of service interruption and the penalties following that. Although every CSA is unique depending upon how flexible the cloud service provider is, it generally comprises 3 major elements:
The challenge posed to cloud service agreements is that the acquisition of the service usually involves multiple service providers (cloud carrier, broker or auditor), who may or may not be legally bound to the cloud customer. Therefore, having a robust CSA is important to protect the rights of the customer and ensure there is no misunderstanding between the parties.
As more and more businesses are using cloud services to improve operations and efficiency, the cloud service market is becoming extremely competitive. Since customers are trusting external providers to safeguard their data, applications, and critical systems, having a legal agreement in place is the only solution to ensure that the customer’s privacy is protected and the provider lives up to the demands mentioned in the contract.
For every service, a CSA is unique. Therefore, sometimes, customers find it difficult to understand the requirements and best practices provided by the supplier. Moreover, since the cloud computing landscape continues to evolve, it becomes increasingly important for customers to secure their rights and do what’s best for them. It is always advisable to seek legal advice before signing or negotiating a cloud agreement.
EAGLEGATE Lawyers is a leading, multi-award-winning law firm in Brisbane specialising in all aspects of IP, commercial and technology law. We have a team of qualified, experienced and knowledgeable lawyers who can draft, review and negotiate cloud service agreements for you. No matter which industry you belong to or cloud services you need -- be it SaaS, PaaS, IaaS, we can help you protect your business interests with a specialist cloud service agreement.
We also provide legal advice to cloud service providers in respect of cloud service agreement strategy, helping clients understand their rights and obligations under cloud agreements, assist in risk evaluation, software licensing and software dispute resolution, as well drafting and reviewing customer data clauses.
Got a cloud contract enquiry? Send us the contract with your questions or requirements and we will be happy to assist.
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