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Many issues need to be considered and tackled before moving data into the cloud. Adoption of cloud computing raises concerns and questions in particular with respect to security, control and privacy in cloud computing environment. Users should be aware where their data will be stored and what law governs. In a case where personal data are to be processed it is important for the contracting parties to ensure that requirements and obligations placed on them pursuant to the EU data protection laws will be fulfilled. This article also includes an overview of typical terms and conditions of cloud computing contracts, stressing that most of contractual arrangements in current practice fall short of achieving a fair balance of rights and obligations arising under the contract between cloud providers and users. The aim of this study is to indicate regulations and guidelines which are applicable to cloud computing contracts as well as initiatives undertaken at the EU level and their role in building legal certainty and trust to cloud computing technology.
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