Liability & risk
Who pays when something goes wrong, and how to keep it from being you.
Blog Indemnification Clauses in MSP Contracts: A Practical Guide
What your MSP indemnification clause must cover, the client-side indemnities to add, and how to align it to your E&O policy. From attorneys who serve MSPs.
Blog Limitation of Liability Clause: What MSPs Need to Know
A client's insurance carrier paid out a seven-figure breach loss, then came after the MSP to recover it. The language in the MSP's own contract decided the dispute. Here is what your limitation of liability clause has to say before that day.
Blog Why Your MSA Shouldn’t Promise a Security Outcome
Clients hire you to help them get secure. But that doesn’t mean you can guarantee they’ll stay secure. If your MSA promises a security outcome rather than a security effort, you’ve taken on a legal obligation that no service provider can realistically meet, leaving you vulnerable to cybersecurity liability. This is one of the most [ ]
Blog Why Your Service Contracts Shouldn’t Act Like Insurance Policies
Your contract should define services, not absorb unlimited risk. You deliver IT, security, or compliance services. You show up. You do the work. You keep systems running. But without clear legal boundaries, a contract can quietly take on a role no service provider intends to play: an insurer. Here’s what that looks like in practice. [ ]
Blog How to Protect Your Business When Clients Ignore Security Advice
You tell your client they need MFA. Or a backup solution. Or endpoint protection. But they say no. What now? As a service provider or technology consultant, you might feel stuck: you gave the right advice, but they refused it. If something goes wrong, will you still be blamed? Why It Matters Security breaches are [ ]
Blog How to Avoid Liability When Ad Accounts Are Compromised or Overspend
You’re running ads for a client. Everything’s approved. But then an accident happens, or worse, the client’s account gets hacked. Suddenly, $100K in ad charges show up, and the client expects you to pay for it. Without the right contract terms, this could become your problem. What Can Go Wrong A former employee still has access [ ]
Podcast The Three-Legged Stool That Protects MSPs from Legal and Cyber Risk
Charles Weaver, CEO of MSP Alliance, joins Rob Scott to break down the "three-legged stool" framework for MSP risk management: insurance, strong contracts, and certification. Charles explains why legal and cybersecurity risks are rising fast for MSPs and how the combination of these three pillars creates a defensible business. Without any one of the three, the stool falls over and the MSP is exposed. The episode explores how Monjur's contract intelligence and MSP Alliance's CyberVerify certification work together to help MSPs reduce risk and scale confidently. Charles shares data on the types of claims hitting MSPs most frequently and why many MSPs are dangerously underprotected. For any MSP owner who has not recently reviewed their insurance, contracts, and compliance posture, this conversation is a direct call to action.
Blog How SaaS Companies Can Protect Their IP
You built something valuable, your software, your codebase, your platform. But if your contracts don’t clearly spell out who owns what, you might be giving away more than you think. Whether you’re signing customers, partners, freelancers, or early contractors, your agreements need to protect your IP from day one. Where IP Risk Shows Up A [ ]
Podcast How One Lawsuit Exposed the Gaps in MSP Contracts and Insurance
Nadeem Azhar, founder of PC Solutions Net, shares one of the most cautionary stories in the MSP space: getting sued for something his company did not even manage. In this candid conversation, Nadeem explains how a single lawsuit revealed critical gaps in his MSP's insurance coverage, contract language, and AI readiness. It is the kind of real-world scenario that every MSP owner fears but few prepare for. The episode goes beyond the horror story to show how Nadeem turned his biggest challenge into a competitive advantage. By implementing continuously updated agreements through Monjur, he closed the gaps that left him exposed and built a stronger, more defensible business. For MSPs who assume their contracts and insurance are "good enough," this episode is a wake-up call.
Podcast Pitch It, Peer Groups, and the Power of MSP Mentorship
Rob Scott sits down with two leaders who are building the infrastructure for MSP success through mentorship and peer learning. Sean Lardo, the creator of the Pitch It contest at IT Nation Connect, explains how this fast-growing platform is giving MSP startups a stage to showcase their ideas, attract mentors, and accelerate business development. He shares insider tips on what makes a winning pitch and why the competition has become a launchpad for the next generation of MSP innovators. Arlin Sorenson, founder of Evolve Peer Groups, makes the case for structured peer groups as a transformational tool. He explains how bringing MSP leaders together in a disciplined format improves leadership, strengthens security posture, and sharpens financial strategy. For MSPs who feel isolated in their decision-making, this episode offers a roadmap to the kind of community and accountability that drives real results.
Blog The Rise of Ransomware: What Every MSP Needs to Include in Client Contracts
Ransomware is more than just a threat. It has evolved into an epidemic. And for Managed Service Providers (MSPs), the stakes are especially high. Cybercriminals often target MSPs as a way to infiltrate multiple clients through a single breach. It makes your business a prime target. Beyond the technical challenges, ransomware also creates legal and [ ]
Blog Are Your Clients Ignoring Security Advice? Here’s How to Protect Your MSP
As a Managed Service Provider (MSP), you play a crucial role in helping clients secure their systems and protect their data. But what happens when clients ignore your recommendations? As MSP Cybersecurity threats become more sophisticated, the gap between security recommendations and client implementation continues to widen. Whether it’s skipping critical updates, rejecting advanced security [ ]
Blog Protecting Your MSP from the Cybercrime Epidemic
Cybercrime is on the rise, and MSP cybersecurity is more critical than ever. Managed Service Providers (MSPs) are increasingly in the crosshairs of ransomware groups, phishing schemes, and other criminal actors. As the frontline defenders of your clients’ IT systems, MSPs face unique challenges in navigating the legal and operational risks associated with cybercrime. It [ ]
Blog Are Your Client Contracts Putting Your MSP at Risk?
For many Managed Service Providers (MSPs), client contracts often feel like a formality, a necessary step to onboard a new client. But the truth is, these agreements are the backbone of your business. When they’re incomplete, outdated, or poorly written, they can expose your MSP to significant risks. From legal disputes to financial losses, bad [ ]
Blog 15 Small Business Growth Strategies for 2025
The new year is looking bright for entrepreneurship: An Intuit Quickbooks survey reported that over 54% of respondents want to start a new business in 2025. Despite the struggles that may lie ahead due to shifting political and economic climates, many entrepreneurs are emerging with new, innovative ideas that are shaping the way businesses operate. Improve the [ ]
Blog The Top 5 Legal Risks Facing MSPs
Did you know that one overlooked detail in your MSP contracts can lead to six-figure lawsuits or regulatory penalties? What you need to understand before talking about the legal risks for managed service providers (MSPs). The legal foundations of their businesses often receive far less attention than their technical solutions. Business Impact: MSPs face unique [ ]
Blog Why “As-a-Service” Models Outperform Traditional Legal Services for MSPs
MSPs face daily challenges with cybersecurity risks and regulatory compliance that go beyond standard legal needs. While traditional legal services add “technology” to their practice areas without truly grasping MSP operations. They can offer some support. But they often fail to match the speed and flexibility MSPs require. That’s why more and more MSPs are [ ]
Podcast MSPZone - S6 Ep 309: Surviving MSP Litigation
Rob Scott joins MSPAlliance's Charles Weaver to break down the real-world mechanics of MSP litigation: how cases start, what wild theories plaintiffs' lawyers argue, and what MSPs can do contractually and operationally to survive. The conversation draws on two decades of actual MSP cases, including a recent arbitration Rob litigated and Charles expert-witnessed, and covers the landmark Acronis case in Sacramento as a cautionary tale for MSPs doing project work without proper agreements. Rob outlines a concrete contract architecture, including modular service attachments, a schedule of third-party services to block vendor liability pass-through, and a newly codified credentials section that distinguishes user credentials, admin credentials, and third-party platform credentials. He also explains why mandatory arbitration clauses and current cyber liability insurance are non-negotiable, and why settling even winnable cases is sometimes the right call for the client even when it is not the right call for the lawyer.
Blog IT Cybersecurity Liability Concerns
In this article Robert Scott discusses the increasing frequency of data breaches and the associated legal liabilities businesses may face. While cybercriminals are the primary culprits, organizations can also be held responsible, especially if their actions or inactions contribute to the breach’s severity. Read full article at cybersecurity-insiders.com.
Blog Navigating IT Liability in 2025: Strategies for Mitigating Risks
January 18, 2025, IT liability is an issue companies must carefully consider as they enter 2025. The threat landscape is evolving rapidly, with cyberattacks becoming more sophisticated and effective every day. In addition, data privacy laws also place more responsibility on companies that gather and store information related to customer identity and activity. To minimize risk [ ]
Blog Navigating the Legal Maze: A Veteran Litigator’s Guide to Data Breach Lawsuits
Rob Scott’s latest article provides a comprehensive overview of the complexities involved in data breach litigation. It highlights key legal cases, including those involving Target, Equifax, and Capital One, which have set significant precedents in consumer data protection and corporate accountability. The article emphasizes the importance of understanding relevant laws, timely breach disclosures, and the [ ]
Podcast Mitigating Risks for MSPs, Monjur
Julian Lee discussed with Rob Scott, Co-Founder of Monjur about the increasing complexity of legal issues in the tech world, especially in relation to cyber insurance and breach incident response. He provided background on his company, Monjur, and its focus on risk mitigation and streamlining customer contracting for managed service providers. Watch the eChannelNews podcast.
Blog CAAS Solution Ensures Comprehensive Legal Protections for MSPs
In today’s ever-evolving cybersecurity landscape, managed service providers (MSPs) are continually navigating a sea of new challenges. Clients depend on MSPs not just for the latest technologies but also for their expertise in implementing sound security measures. However, the responsibility of MSPs should not extend to liability when clients fail to follow these crucial recommendations. [ ]
Blog Insurance Obligations and Limitation of Liability in MSAs
Master Services Agreements (MSAs) serve as the cornerstone of operational clarity between Managed Service Providers (MSPs) and their clients. This comprehensive guide is intended for MSP owners. We’ll clarify the strategic role of insurance and the limitation of liability clauses within our industry leading templates offered through our contracts-as-a-service solution. Together, these components create a [ ]