Conducting Software as a Service (SaaS) Agreement Due Diligence | Practical Law
Software as a Service (SaaS) arrangements are increasingly replacing on-site software licensing for many IT applications. Migrating software applications to the cloud can have significant cost and operational advantages. However, before entering into a SaaS agreement, potential SaaS customers must weigh the special issues and risks that differentiate SaaS services from traditional software licensing. Only after conducting this due diligence analysis can a potential SaaS customer adequately determine whether to enter into a SaaS agreement and, if so, on what terms.