IT disputes

Limitation of liability clauses are often the subject of extensive negotiations between business to business parties of an IT contract. It is difficult to escape the conflict between the competing priorities of customer and supplier - the customer aims to secure the maximum protection available against future losses but the supplier wants a level of liability to match the perceived value of the project to it. How wide can the supplier go to limit its liability and what does a customer need to do to ensure fairness while maintaining some certainty as to the losses potentially recoverable?

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The Internet of Things has been touted for some years now as the brave new world of technological development that will transform business and homes beyond recognition. Some of that early promise is now being fulfilled, but while the benefits are clear, IoT devices also bring a number of risks. Some of these will be new manifestations of old legal problems, others may raise interesting new legal issues which will ultimately only be clarified by the courts. In the space available, we can only give a high level view of some of the issues which we see being the subject of disputes over the coming years.

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For the majority of IT projects, the contract and, just as important in terms of flushing out crucial information, the negotiating process leading up to signature, can play a big role in influencing the direction of the project, as well as helping to resolve disputes efficiently in the event the project veers off course.

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In 2016, ransomware incidents were reported to have increased by over 300% – with the number of attacks still on the rise. Ransomware is a form of malware that blocks a user's access to its system or files through encryption until a ransom is paid, although payment doesn't always guarantee returned access.

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