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What Is IT Law (Explained: All You Need To Know)

IT Law refers to Information Technology law providing the legal framework for accessing, using, storing, and managing electronic information.

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What Is IT Law

IT law stands for “Information Technology Law” representing the legal framework allowing individuals and businesses to use, access, store, and share electronic information with one another.

Information technology impacts companies of all sizes and in all industries.

Virtually every company in the world somehow collects, stores, and uses electronic information that it creates or receives from others.

IT law is a broad term that refers to a wide range of areas where electronic information is of concern, such as software licensing, intellectual property, outsourcing, data privacy, data protection, corporate policies, e-commerce, and more.

As more companies leverage technological tools and systems to compete in the marketplace, the field of information technology law has seen a significant progression over the past decades.

This trend is expected to continue in the course of the next decades.

Why Is IT Law Important

IT law is important as it is the application of various areas of the law, namely:

  • Contracting
  • Intellectual property
  • Data privacy 
  • Data protection 
  • Data security 

The technology sector evolves at a very rapid pace and it’s important to keep up with the latest legal requirements applicable to IT law.

Typically, IT lawyers should have extensive knowledge of technology, understand how different systems work, and have a solid technical understanding of technology to advise their clients.

Businesses rely on IT lawyers in many ways, such as:

  • License agreements
  • License maintenance and service level agreements
  • E-commerce transactions 
  • Website terms of use
  • End-user license agreements
  • Website hosting
  • Software-as-a-service (SaaS)
  • Referral agreements
  • Reseller agreements
  • Master software license agreements
  • Professional service agreements
  • Statement of work
  • Work orders
  • Source code escrow
  • Non-compete agreements
  • Non-solicitation agreements
  • Privacy policies
  • Corporate policies 
  • Distribution agreement 
  • Software development
  • Strategic alliances

And the list goes on and on.

Information Technology Areas of Law

Information technology law, or IT law, is essentially a broad term encompassing various areas of the law.

The key areas of law that IT law touches up are:

  • Intellectual property law
  • Contract law
  • Data privacy and protection law
  • Digital media law
  • Cyber law
  • Software licensing and development 
  • Open source licenses 
  • Anti-spam laws
  • Consumer protection laws
  • Corporate laws
  • Commercial laws
  • E-commerce and Internet laws
  • Copyrights, trademarks, and industrial designs 

And more…

Attorneys practicing in IT law are familiar with technology, understand the technological concepts, and have experience in dealing with issues and challenges faced by their clients.

There are many laws affecting electronic information, and how it should be used, stored, collected, and managed in general.

Companies must ensure that they comply with local, national, and foreign laws that may apply to them in dealing with electronic information.


So there you have it folks!

What is information technology law?

In a nutshell, information technology law, or IT law, encompasses many areas of the law such as IP, data privacy and protection, software licensing, electronic signatures, and more.

Businesses are subject to IT laws in varying degrees whether they are dealing with a software license agreement, engaged in research and development, implementing corporate policies, dealing with regulators, handling compliance, or others.

Having a good understanding of your business objectives and properly assessing the impact of IT laws can help you avoid getting into legal troubles, minimize risk, and take full economic advantage of your business.

If you are negotiating a software license, dealing with data privacy and security issues, engaged in cross-border transactions, dealing with IP, or require legal advice, be sure to work with an attorney that is experienced in the field of IT law.

Good luck!


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