Law.com Subscribers SAVE 30%

Call 855-808-4530 or email [email protected] to receive your discount on a new subscription.

Under Shared Responsibility Cloud Model, Data Owners Retain Control of Access and Data

By Catherine Castaldo, Therese Craparo and Christine Gartland
June 01, 2022

As data volumes continue to experience exponential growth, businesses of all sizes — even those that traditionally resisted the change — are embracing cloud models. From a business perspective, the transition to the cloud allows businesses to manage data, reduce costs, and take advantage of the efficiencies and analytics offered by third-party cloud providers. From a legal perspective, the cloud introduces a unique shared responsibility model that many businesses are only now coming to appreciate; specifically, although the cloud provider may house the data and provide functionality for access and data security controls, the legal obligations remain the responsibility of the business procuring these services. In fact, with the two most important controls — access and data — responsibility rests wholly with the business procuring the service.

Comparison to Traditional Models

In the shared responsibility model, the business does not have full dominion over its software, hardware, and threat landscape — it's connected within the cloud model and stored on someone else's servers. A business's most sensitive data may be transferred to and stored by thousands of different cloud providers, each with their own unique processes and functionality that are typically designed for mass use, rather than bespoke to the business's needs. There are also a variety of cloud computing services, including Infrastructure-as-a-Service (IaaS), Platform-as-a-Service (PaaS), and Software-as-a-Service (SaaS). For simplicity, this article refers to all cloud computing models as the "cloud"; however, appropriate controls may depend on the cloud model and type of technology. This means that, in order to assess, implement and manage appropriate controls, the business must conduct an individualized assessment of each cloud provider. In effect, the shared responsibility model is a decentralized model that requires customization for each cloud service used by the business.

This shared responsibility model is a fundamentally different approach from the traditional on-premise environment, which allows for more centralized control over people, process and technology. When computing was "on prem", everything from desktop machines to server farms were hosted, managed, and controlled by the IT group employed by the business. That centralized infrastructure could support standardized approaches to data and access controls that could be pushed out across the entire infrastructure. Legal often had little insight into the controls applied to each system, in part because legal could approve (and rely on) a standardized, principles-based approach to access and data controls, and in part because at the time, few laws required a critical view into the data and risk managed by the business.

This premium content is locked for Entertainment Law & Finance subscribers only

  • Stay current on the latest information, rulings, regulations, and trends
  • Includes practical, must-have information on copyrights, royalties, AI, and more
  • Tap into expert guidance from top entertainment lawyers and experts

For enterprise-wide or corporate acess, please contact Customer Service at [email protected] or 877-256-2473

Read These Next
Major Differences In UK, U.S. Copyright Laws Image

This article highlights how copyright law in the United Kingdom differs from U.S. copyright law, and points out differences that may be crucial to entertainment and media businesses familiar with U.S law that are interested in operating in the United Kingdom or under UK law. The article also briefly addresses contrasts in UK and U.S. trademark law.

Strategy vs. Tactics: Two Sides of a Difficult Coin Image

With each successive large-scale cyber attack, it is slowly becoming clear that ransomware attacks are targeting the critical infrastructure of the most powerful country on the planet. Understanding the strategy, and tactics of our opponents, as well as the strategy and the tactics we implement as a response are vital to victory.

The Article 8 Opt In Image

The Article 8 opt-in election adds an additional layer of complexity to the already labyrinthine rules governing perfection of security interests under the UCC. A lender that is unaware of the nuances created by the opt in (may find its security interest vulnerable to being primed by another party that has taken steps to perfect in a superior manner under the circumstances.

Removing Restrictive Covenants In New York Image

In Rockwell v. Despart, the New York Supreme Court, Third Department, recently revisited a recurring question: When may a landowner seek judicial removal of a covenant restricting use of her land?

Fresh Filings Image

Notable recent court filings in entertainment law.