What Does an SaaS Lawyer Do? featured image

What Does an SaaS Lawyer Do?

by John DiGiacomo

Partner

Corporate

In very basic terms, a SaaS lawyer is tasked with protecting the intellectual property of businesses that provide software-as-a-service (“SaaS”). This includes ensuring that end-users pay for use per their user agreement and do not violate the terms of use — that is, not use the software improperly. Most SaaS is now accessed through websites or through cloud hosting services. In some cases, SaaS is provided by the physical installation of the relevant software by employees of the SaaS company. In the past, SaaS might have been provided via physical computer disks installed by the user or through other methods. However, the software is delivered, end-users must understand that the software is owned by the SaaS company and that use is based on licensing and payment.

Given the foregoing, one main task for an SaaS lawyer is to negotiate and prepare the end-user agreement or licensing agreement. If the end-user is a large company or organization, like a college or university, where it is expected that many employees or members will use the software-as-a-service, the end-user agreement may be specifically negotiated and drafted. Key aspects of the agreement might include:

  • Licensing terms
  • Payment terms
  • Provision of services terms
  • Data privacy and confidentiality provisions
  • Cybersecurity for SaaS providers and, in some cases, for the end-user business
  • Ongoing maintenance and updating of SaaS services and software
  • Troubleshooting user issues
  • In some cases, in-person maintenance/troubleshooting
  • Default and dispute resolution remedies

Where non-specific end-users may be involved, a standard all-purpose end-user agreement may be drafted for use with anyone that may contain similar — but more general — clauses and provisions. These are generally posted on the relevant website or cloud service with a notice that use of the website/hosting service is to be deemed agreement with the end-user agreement.

An SaaS lawyer must also be watchful for new laws regarding SaaS agreements and services. This falls under the category of compliance with changing legal and regulatory rules. When the law changes, then the end-user agreement must reflect those changes. As an example, there are some statutory efforts to give consumers more power with respect to automatic renewal of services and recurring charges. In some cases, SaaS agreements are structured with auto-renewal provisions.

An SaaS lawyer also provides the following other legal services:

  • Corporate formation and structuring
  • Protection of other IP, like copyrights, patents, and trade secrets
  • Dispute resolution and litigation services — sometimes there is no choice but to sue; of course, if you are sued, you will have to hire excellent litigators
  • Debtor/creditor transactions
  • Negotiation and review of other contractual agreements
  • Labor law compliance — no matter the business, everyone must comply with the labor laws
  • If an adverse event occurs — such as a cybercriminal attack — providing advice for those having to interface with regulators
  • Helping with mitigation post-adverse event
  • Permitting and compliance with local and State code issues
  • Tenant/landlord matters and/or real estate

Contact the SaaS Attorneys at Revision Legal For more information, contact the experienced SaaS Lawyers at Revision Legal. You can contact us through the form on this page or call (855) 473-8474

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