We all need somebody to lien on

The control and security of electronic data has been a continual issue in technology related transactions for some time. It is of course of particular relevance for cloud services where the perceived risk in: data security; unknown data locations; and data format/return on exit; are often cited as key inhibitors to customer adoption.

In mid-March, the Court of Appeal, on appeal from the Brighton County Court, gave judgment in Your Response Ltd v Datateam Business Media Ltd [2014] EWCA Civ 281. The appeal concerned whether a common law possessory lien can be exercised by a supplier over an electronic database it operated and maintained for a customer, where the customer owed unpaid charges.

The previous judgment had decided that it could but the Court of Appeal has now decided a common law lien cannot be exercised over intangible data…

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