MSP Contract Negotiation Series - Limitation of Liability & Indemnification

MSPs have agreements with everyone; customers, vendors, partners. The managed services agreement with customers, perhaps, is the most important. Regardless of the type of MSP you are, the types of services, or your customers, the contracts you use will likely be negotiated.  
Warranties and indemnification clauses are common boilerplate in modern managed services agreements. But, not all such clauses ought to be accepted without review and consideration.  
 
Highlights:  
What are limitation of liabilities? 
Indemnification clauses 
By Provider 
By Client  
Limitation of Liability Carveouts 
Email MSPZone@mspalliance.com to acquire your copy of the 3rd party disclosure addendum.  
 
MSP Zone Guest: Rob Scott 

Who are The Hackers Really Targeting?

Fact: Ransomware "gangs" are actively trying to attack organizations of all sizes. The attacks have had some success and will likely continue for the foreseeable future. But, are the attack vectors really targeting MSPs, or is there another target that exists?  
 
Highlights:  
Who are the real targets of these ransomware attacks?  
Why are these tactics being used? 
Can anything be done to stop them?  
Is the MSP the real attack vector? 
 
MSP Zone Reading Material 
Solarwinds hackers targeting global IT supply chain,  Microsoft says (cnbc.com) 

Are Supply Chain Problems Forcing VARs Out of Their Business Model?

Pandemic related supply chain disruptions are happening on a global basis. Since the beginning of the pandemic, everyday items have become subject to distribution disruption. These supply chain disruptions are also having an impact on value added resellers. Could supply chain problems signal a business shift for VARs towards managed services?  
 
Highlights:  
VAR supply chain disruption 
Impact on VAR business model 
Impact on managed services 
 
MSP Zone Reading Material: The Value Of VARs Is Diminishing In Cybersecu rity: Here’s How To Get It Back (forbes.com) 

MSP Consolidation Rumors On the Rise Again

It seems there is never a shortage of M&A related chatter within the IT channel and we appear to be in the middle of one such rumor mill once again. In fairness, this may be part rumor and part misconception (probably more the latter).  
Is there an M&A consolidation frenzy taking place in the MSP profession? We will examine that question.  
 
Highlights:  
 
MSP Zone Show Notes: Private equity is ready to take MSP consolidation to the next level | TechCrunch 

MSP Contract Negotiations Series - Termination Clauses

MSPs have agreements with everyone; customers, vendors, partners. The managed services agreement with customers, perhaps, is the most important. Regardless of the type of MSP you are, the types of services, or your customers, the contracts you use will likely be negotiated.  
The terms you negotiate with customers matter, and sometimes there are ways you can arrive at terms which are mutual beneficial to both MSP and customer.  
 
Highlights:  
Term & Renewal 
Termination 
Termination for Convenience 
Termination for Cause 
MSP Zone Guest: Rob Scott 

The Cost of Human Error in Cybersecurity

Too often we think only of technology as that which will save us from cyber security threats. Yet, there is an even more powerful resource in the fight against cybercrime…people.  
 
The human element is where the majority of email borne attacks are being focused. Are we doing enough to help those users fight what is aimed at them?  
 
Highlights:  
Cybersecurity attacks have become more prevalent and more sophisticated, and organizations of all sizes and industries are being targeted. 
Phishing emails look so real these days – end users are clicking despite organizations best efforts to educate and train. 
The costs to organizations – those clicks open the door to ransomware among other attacks.  Costs to businesses go far beyond paying the ransom.  Downtime, damaged reputations, and lost customers add up. 
Traditional email security measures are no longer enough. 
What MSPs should consider for next generation email security protection. 
 MSP Zone Guest: Dave Baggett, CEO of Inky 

Do We Lack Cyber Standards or Enforcement?

A few episodes ago we discussed the challenges cyber insurance carriers are having identifying and categorizing risk. This has been evidenced in difficulties MSPs (and their customers) have been experiencing in obtaining and renewing cyber coverage.  
A recent article in Crain's lends further evidence of this  issue. But, is it a lack of cybersecurity standard we face, or is it lack of enforcement and adoption of a standard?  
 
Highlights:  
Current Cyber Standards 
MSP vs End-User Standards 
Enforcement of Cyber Standards 
 
MSP Zone Reading Material: Insurance carriers scrutinize cybersecurity controls | Crain's Cleveland Business (crainscleveland.com) 

Will The Insurance Industry Survive Cybersecurity?

Insurance is one of those topics often misunderstood by many, and yet has an undeniable impact on many industries. The common belief is that MSPs have been the more risky bets for cyber insurance carriers but that may not be true. In fact, the problem of cyber insurance coverage, best practices, and underwriting, may be far more serious that we realize.  
 
Highlights:  
What is the cyber insurance problem we face?  
Which industries are impacted?  
Are MSPs the cause or the solution?  
 
MSP Zone Reading Material: Ransomware Has Been a ‘Game Changer’ for Cyber Insurance (insurancejournal.com)