If It's in the Cloud, Get It on Paper: Cloud Computing Contract Issues

Much recent discussion has focused on the pros and cons of cloud computing. Some institutions are attracted to cloud computing benefits such as rapid deployment, flexible scalability, and low initial start-up cost, while others are concerned about cloud computing risks such as those related to data location, level of service, and security infrastructure. For institutions that have done due diligence and determined that the benefits of cloud computing outweigh the risks, this article serves as a resource to help mitigate those risks through the contract terms with a cloud services provider. It is intended to highlight some best practices and complement, not obviate, an institution's existing legal, contractual, or purchasing policies. (Contains 12 endnotes.)