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SaaS And E-Discovery Dangers

Here's how to meet your legal obligations when your data lives in the cloud.
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SaaS and E-Discovery Dangers

Litigation may be the last thing on IT's mind as it evaluates software-as-a-service options for the enterprise. Unfortunately, litigation and e-discovery--the act of finding, preserving, and analyzing electronic information--are facts of life. If your company gets dragged into a lawsuit and relevant information is stored inside a provider's cloud, you need to know that information is available on demand.

That's why IT should add e-discovery criteria to its list of considerations when evaluating SaaS providers, particularly when looking at services such as hosted e-mail and e-mail archiving, PC and file-share backups, and other information sources that create a legal data trail. No company wants to find that a SaaS application it purchased to streamline operations suddenly has become a major hurdle to its e-discovery obligations.

Fortunately, many of the criteria, including storage and performance, that IT already uses to evaluate SaaS providers can be applied to e-discovery. However, there also are e-discovery-specific requirements that must be considered, such as fine-grained control over retention and disposition of data, and the ability to quickly retrieve information from the service provider's system.

We'll examine how e-discovery issues align with--and depart from--common SaaS requirements, and outline contractual issues SaaS buyers must consider to ensure they can meet their e-discovery obligations.

Beyond Storage

IT expects good service availability levels and robust, secure data storage capabilities from SaaS providers. Availability and storage also make sense for e-discovery. After all, for any company to conduct a thorough e-discovery exercise, it must have regular and reliable access to its data and be assured the provider is protecting that data.

But when it comes to e-discovery, IT should look beyond basic storage to consider more fine-grained controls over information stored in a provider's facilities.

That's because archive processes, data retention policies, and e-discovery form a virtual Gordian knot of entwined requirements and implementation details: Change one element and you invariably affect the other two. Nowhere is this more apparent than when storing data in the cloud, where a company's most carefully considered document retention strategy could be sabotaged by sloppy operational processes. When using SaaS, it's imperative that the provider be able to enforce your internal retention policies.

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