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How Tech is Redefining the Practice of Contract Law
Unrelenting pressure from the coronavirus pandemic has changed how many legal departments operate. With flattened staffing budgets and increased workloads, legal teams have turned to technology to solve these challenges with efficiency. Implementing the right legal tech stack aligned with company strategies and business goals has never been so important. Here are three of the major legal tech trends 2021 has spotlighted so far.
Continue Reading →Software Licensing Agreements (SLAs) are necessary to protect the interests of software creators and software users. These contracts explain a customer’s usage rights, including installation location and frequency, as well as software duplication, modification, and redistribution rules. Likewise, software price, licensing fees, usage term duration, and performance guarantees are often detailed in the agreement.
Continue Reading →Many companies contract with third parties for IT services, and these relationships are often governed by Master Service Agreements (MSAs). Reviewed and negotiated by high-level corporate managers or legal departments, MSAs delineate the working relationship for a complex, multi-stage project or long-term arrangement.
Continue Reading →Avoiding pitfalls while writing End-User License Agreements (EULA) is similar to preventing issues with most other types of contracts. The contract needs to avoid ambiguous or illegal clauses, cover regulatory necessities, and consider its audience. As the EULA covers consumers without legal knowledge, keeping these contracts short and concise is ideal.
Continue Reading →Software-as-a-Service (SaaS) contracts reflect a new software licensing model where companies and individuals pay for software use over a set period. This type of arrangement allows software companies to generate ongoing revenue while providing the user with security updates and innovative new features. As a result, companies must update software agreements continually, as unoptimized contracts can lead to excess licenses with overlapping services, unmet customer needs, and unnecessary liabilities.
Continue Reading →Not long ago, software license models had a single purpose: protect the source code. However, modern innovation has complicated that single-purpose approach. Today, many companies want users to share—and even modify—their software to enhance and improve the user’s experience. As a result, companies now utilize several different software license models.
Continue Reading →The difference between an End User License Agreement (EULA) and a Software License Agreement (SLA) depends on intended usage. The EULA generally governs the continuous use of the software by a group of individuals. Meanwhile, an SLA targets a specific entity for a finite period. Of course, other nuances distinguish the agreements, but these are the two primary variances.
Continue Reading →Since 1986, the London Interbank Offered Rate (LIBOR) has been the interest rate standard for global banks making short-term loans to one another. LIBOR is often referenced in derivative, bond, and loan documentation—including mortgages and student loans. This long-standing international benchmark, scheduled to end after 2021, will be replaced by the Secured Overnight Financing Rate (SOFR).
Continue Reading →A Master Service Agreement (MSA) template can provide a solid foundation for establishing a business arrangement, but relying solely on a third-party template is risky. Since the MSA will determine all future work standards, tailoring the third-party agreement to conform to your specific business situation is imperative. Some legal departments choose to work with an alternative legal service provider (ALSP) to review and negotiate a bespoke agreement, but innovations in legal tech have enabled in-house legal departments to efficiently and effectively review and negotiate bespoke MSA agreements themselves.
Continue Reading →The International Swaps and Derivatives Association (ISDA) agreement is a longstanding contract between two parties that governs future swaps and derivatives transactions. These detailed agreements should be sound and equitable—as the contract, not the stock exchange, governs Over-The-Counter (OTC) transactions
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