SaaS Agreements – Terms and Conditions – Subcontractors and Outsourcing

The terms of your SaaS agreement must include the right to use sub-contractors as 99% of SaaS suppliers use at least one sub-contractor – a third party data centre – to host their SaaS software. SaaS customers often try to prohibit the use of sub-contractors or place severe restrictions on their use by insisting that they must give prior consent to each sub-contractor. This is not acceptable for practical reasons as often numerous sub-contractors are used in providing the SaaS services and these sub-contractors will change over time.

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SaaS Agreements – Data Protection – Liability for Loss of Backup Tapes

A SaaS supplier can be liable for the loss of backup tapes, not just under the terms of its SaaS agreement but also the Data Protection Act 1998, the Financial Services Authority regulations or other UK rules or regulations regardless of whether the SaaS supplier, its data centre or a third party losses the backups of customer data.

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Bodle Law