The benefits of SaaS (software as a service) applications to customers are numerous. They include: customer collaboration access anytime/anywhere, no need to install programmes and updates, number of users can be increased or decreased easily more functions and modules can be quickly and easily added reduced need for internal IT saving in professional time Customer Collaboration Often customer portals are included in the SaaS application which enables the customer to share information with its clients. Access Anytime, Anywhere SaaS applications are usually hosted on the software supplier’s servers. This enables
Continue readingYear: 2010
Cloud based Software, Cloud based Technologies, Cloud based Services
If things go wrong, your data is lost and your customers start to move to your competitors – making a claim for breach of contract will not repair the damage already sustained to your finances and business reputation. These issues should be dealt with upfront, as part of the commercial negotiation process, with the assistance of an experienced specialist SaaS lawyer. Thereby your interests can be adequately covered to minimise the risks of the above scenario occurring.
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What is Cloud Computing
Cloud computing is a new and rapidly expanding delivery model, often used to supply IT services to customers via the Internet. Cloud computing involves the sharing of resources, software and information on the Internet for users to use on their computers and other devices, on-demand.
Continue readingSaaS, ASP Agreements – Transfer of Personal Data outside of the EEA
There are no restrictions on transferring personal data within the EEA. However, due to the global nature of SaaS or ASP agreements personal data often needs to be transferred outside of the EEA, for example to an IT outsourcing provider in India, a subsidiary of your company in China or a data centre or software development centre in Vietnam.
Continue readingSaaS, ASP Agreements – FAQs – Disaster Recovery
What disaster recovery provisions need to be included in a SaaS agreement?
Continue readingSaaS, ASP Agreements – FAQs – Confidential Information
What confidentiality provisions need to be included in a SaaS agreement?Define Confidential Information.
Parties will obtain and have access to the business critical information of each other as a result of entering into a SaaS Agreement. For example, they may have access to customer lists, banking information, IPR, source code and object code or business secrets and processes. Confidential information should be defined in the SaaS agreement to make clear what is, and what is not, confidential. Do not simply refer to documents which are “marked as confidential” or “which should be treated as confidential”. Not all confidential information exists in a physical format, particularly in a SaaS scenario – so do not restrict your definition to just documents.
SaaS, ASP Agreements – FAQs – Security
What data security provisions need to be included in a SaaS agreement? Customer’s Security Obligations – These should be set out in the software licence. Access to the software and services should not be permitted to third parties without prior authorisation from the supplier. The customer should provide the following warranties:
– existence of adequate security measure to ensure access to the software and services does not breach the terms of the SaaS agreement
SaaS, ASP Agreements – FAQs – Software Licence
The software licence to be included in a SaaS agreement is very different from the standard software licence found in non-SaaS agreements for the following reasons. Access to the software is provided together with support and maintenance services. Without support and maintenance there can be no licence and vice versa. This is because the customer has no copy (physical or intangible) of the source code or object code. The software is installed on the supplier’s server and accessed by the customer via the Internet.
Continue readingSaaS, ASP Agreements – FAQs – Escrow
When negotiating a SaaS agreement you may come across the term escrow. What is escrow and is an escrow agreement necessary? Under the terms of a SaaS agreement you do not own or have any rights to the software (which includes the source code) that you are accessing. This is usually not an issue until technical problems arise, i.e. unexpected service interruptions, downtime, loss of application functionality and loss of data. This can add significant costs to your business and you are dependent upon the supplier to resolve these issues, unless you have an escrow agreement in place.
Continue readingSaaS, ASP Agreements – Source Code and Object Code
When negotiating a SaaS agreement you will come across the terms source code and object code. What is the difference between source code and object code? Source code is the version of a computer programme that exists prior to the software being ready to compile and run on a computer. The source code consists of a number of statements created in a text form by a programmer.
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