Drafting Software Hosting Agreements: Service Availability, Performance, Data Security, and Other Key Provisions From U.S. and European Perspectives

Hosting agreements enable technology users to remotely access a vendor's software from a centralized site while the vendor maintains responsibility for software maintenance, updates and upgrades. When entering a contract for software hosting services, counsel for both parties must carefully negotiate the agreement provisions regarding service availability, performance and the security of data.

Counsel should advise clients to thoughtfully select the data they will send to the host, investigate the procedures for disaster recovery, and carefully evaluate the reliability of the host's platform. Counsel should also guide clients in using contractual representations, warranties, limitations on liability, and indemnities to allocate and mitigate risk.

Listen as our experienced panel discusses best practices for drafting and negotiating software hosting agreements to avoid legal pitfalls and minimize liability risks.

1. Drafting key provisions in software hosting agreements
2. Recent legal developments and business trends impacting software hosting agreements

The panel will review these and other key issues:

• What are the principal questions counsel must consider before undertaking the negotiation and drafting of a software hosting agreement?
• What contract terms are most important to include in software hosting agreements?
• What strategies can be used to resolve commonly disputed issues during the negotiation of software hosting agreements?