The High Price to Pay for the Cloud: How Cloud Based Storage Applications Streamline Data Storage, but Pose Legal Issues and Security Risks to Private Sector Employers and Employees Alike

3 Baku St. U. L.Rev. 131 (2017)
Article language: English.


The advent of new cloud-based technologies has generated questions and concerns over their application in the workplace. While everyday users store mounds of information in the cloud without realizing it, businesses specifically chose cloud-storage for convenience and in a lot of cases necessity. This however may open them up to liability beyond that of “data breaches.” While the courts in United States has addressed this issue in the realm of privacy concerns to public employees (i.e. government employees), private sector employees and employers alike are left in the dark as to their obligations and liabilities. This article will discuss generally what cloud-computing is, what legal issues it poses in the areas of wage and hour law, intellectual property law and general privacy considerations for both the employer and employee alike. It will also examine whether necessity exists for employers to safeguard utilization of cloud based storage in the workplace, if they chose to store protected health information, and the likelihood of impending necessity to re-draft employment agreements to protect work product and other privileged client information that may be stored in the cloud. This article will also look at any existing or proposed legislation and review any cases on the issue that have been decided in the country, that could help both sides in navigating the ever advancing world of cloud computing. Finally, this article attempts to propose adequate solutions where legislation and the courts have failed.

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