Pitfalls of Present-Day Contracts: Hyperlinked Contract Terms
Cloud-based services and data services are creating new contract challenges for service providers— and their customers, write Glynna Christian and Molly Bright in an article posted on the website of Kaye Scholer.
“Many of these issues relate to the myriad changing pass-through terms required by a service provider’s own network of underlying agreements with the sub-providers of the services and data needed to make the service provider’s cloud-based services operate,” they write. “These agreements may include arrangements with cloud infrastructure providers, software providers and data providers that often require the service provider to ensure that its customers comply with acceptable use policies, limitations of liability, indemnification and intellectual property licensing or other content requirements.”
In some cases, a service provider can incorporate these terms into its customer agreements by embedding hyperlinks to these contract terms in its customer agreements.
