CSC and Sears are discovering another downside to the courtroom. The case has gone to the Seventh Circuit of the United States Court of Appeals, in Illinois, and many of the related documents may enter the public domain. So a lot of information that businesses like to keep private-how much they pay for services, what their contracts stipulate, technology strategies, and the like-could be available for perusal by inquiring minds. The moral? There are a host of reasons why an outsourcing deal can end early. Smoothly moving IT operations from the vendor back to an in-house operation depends on having a detailed transition plan in place that's mutually agreed upon. The courts should be a last resort.
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Outsourcing Deals Need Prenups
Regardless of who is right or wrong in Sears' courtroom battle with Computer Sciences Corp., the case shows why a solid prenuptial agreement is necessary when crafting an outsourcing deal.