New Technologies, Regulations Are Making Legal Environment More Complex

The proliferation of cloud technology has spawned an array of thorny legal issues pertaining to jurisdiction, Liutikas said.

In addition, the 2013 strengthening of HIPAA regulations has resulted in more downstream liability for business associates, a category into which solution providers are often lumped.

Increased merger and acquisition activity has also persuaded solution providers to be more careful with buttoning down their business, accounting for employee obligations and protecting all intellectual property to make themselves more attractive to a potential suitor.

More routine legal obligations for solution providers include service-level agreements and risks associated with data going outside the United States, Liutikas said.