Ten Due Diligence Keys to Unlock Value from Your Software-As-A-Service Contract
“Much has been said about due diligence when investing in or acquiring a software-as-a-service (SaaS) business. However, the increased reliance on cloud-based technology in today’s remote world makes it critically important for a SaaS customer to be able to quickly identify the important contract provisions that will lead to receiving value from the customer’s technology spend. This post provides key areas of focus when you are contemplating acquiring access to technology provided as SaaS,” writes Matt Hafter in Thomas Coburn’s Publications.
“Before clicking ‘accept,’ your business and IT teams should consider the following … about the proposed SaaS terms:
1. Scope of services
2. Permitted use and users
3. Testing and acceptance
4. Warranties and service level commitments
5. Data usage and security
6. Other important vendor obligations
7. Liability caps and exclusions
8. Intellectual property
9. Termination
10. Escrow”
