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5 Regulatory Considerations You Should Know Before Choosing a Deployment Option for Your eDiscovery Platform

Published On : November 9, 2023
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Selecting the right deployment option for your eDiscovery platform is crucial in our digitally-driven business environment. Beyond the software’s features, it’s imperative to navigate the complex regulations pertaining to data residency and privacy.

Why is this important? Compliance mistakes can result in significant legal challenges and financial repercussions. This article aims to illuminate the essential regulatory considerations to be aware of during your selection process.

Cross-Border eDiscovery: An Overview

Imagine a global puzzle where each piece is a country with its own set of data rules. That’s cross-border eDiscovery for you. Let’s break down what the term means:

  • eDiscovery: It’s the digital process where data is identified, collected, and used, especially during legal cases.
  • Cross-border: This refers to when your data travels across countries, crossing different legal boundaries.

Now, think of this scenario: You’ve got data from a Japanese custodian. It’s not as simple as just storing that data anywhere. That data has to be hosted on a server located in Japan. If you are reviewing this data, you’ve got to be logged in from Japan. Now that’s a challenge. But it’s just one example of how tricky eDiscovery data residency can get.

5 Regulatory Considerations You Should Know

Here are five regulatory considerations to keep in mind before choosing a deployment option for your eDiscovery platform:

1. eDiscovery Data Residency

When we talk about data residency, it’s all about where your data lives. It sounds simple, but in the world of eDiscovery, it’s a big deal. Here’s why:

  • Legal implications: Different countries have their own rules about where data should be stored.
  • Custodian’s region: The place where the data comes from matters. Like our Japanese example earlier? If the data’s from Japan, the server’s got to be there too.
  • Access restrictions: Not everyone can jump in and view the data. Depending on where it’s from, there might be rules about who gets to peek.

For instance, let’s consider a case with 20 custodians. If five of them are from Japan and the remaining 15 are from the United States, you must segregate the data into two separate categories. The data from Japanese custodians must be hosted on a server located in Japan, adhering to its specific residency requirements. In contrast, the data from U.S. custodians can be stored as per U.S. laws.

This impacts where the data is stored and influences how the review process is conducted. So, understanding the regional implications for each custodian set is imperative for data residency and access limitations.

2. International Data Privacy Laws

Each country is like a chef with their own recipe for data privacy. Some might have a dash of strictness, others a sprinkle of leniency. What does that mean for you?

  • Variety of laws: From the European Union’s General Data Protection Regulation (GDPR) to the California Consumer Privacy Act, the laws are vast and varied. Privacy compliance in eDiscovery is critical, so firms must understand these laws.
  • Influence on decisions: These laws aren’t just for show. They directly influence your eDiscovery deployment options. Where you store data and how you process it matters big time.
  • Knowledge is key: If you don’t know the laws, you must educate yourself and your staff on them. This will prevent headaches down the road—or even legal trouble.

3. Review and Access Limitations

So, you’ve got this treasure trove of data. But here’s the kicker: not everyone is allowed to lay eyes on it. Review and access rules can sometimes feel like a VIP party, where only a few get on the guest list.

  • Location-based access: In some regions, data reviewers need to be in the same country as the data. Regulators take data privacy in eDiscovery seriously and often impose this rule to ensure the safety of data.
  • Reviewer restrictions: Not just anyone can review. Some regions require specific qualifications or certifications. This red tape can greatly impact your business, so you must be aware of it.
  • Multilingual requirements: The legal team must also assess the platform’s support for regional languages. It’s not just about the documents being in different languages; even the platform’s user interface might need to be adapted for non-English-speaking regional reviewers. Onboarding and training of these regional reviewers should be managed by dedicated local tech support personnel.

4. Local Compliance and Data Sovereignty

Data sovereignty is the idea that data is subject to the laws of the country it’s stored in. This can make or break your eDiscovery strategy.

  • Country-specific storage: Some countries are very strict. They want their data stored within their borders, with no exceptions.
  • Privacy laws: It’s not just about where you store data but also how you handle and protect it. Each country has its playbook, and trust us, they expect you to know the rules.

5. The Risk of Non-Compliance

Here comes the warning part. If you don’t play by the rules, there’s a price to pay. Non-compliance isn’t just a slap on the wrist—it can lead to heavy-duty consequences.

  • Fines and penalties: And we’re not talking pocket change. Some fines can reach up to millions of dollars.
  • Reputational damage: A business’s reputation is golden. Get this wrong, and that gold can quickly tarnish.
  • Legal ramifications: In some cases, non-compliance can land you in court.

Mastering Cross-Border eDiscovery in the Modern Age

Navigating the world of cross-border eDiscovery can feel like you’re in a maze while blindfolded. But don’t despair! Understanding these regulatory considerations can be your map out.

By being savvy about eDiscovery deployment options and staying informed about data residency and privacy, you can make smart choices that keep you on the right side of the law.

We at Knovos are here to help light the way. Remember, knowledge isn’t just power in this game—it’s peace of mind. So, stay informed, stay compliant, and let’s tackle this eDiscovery journey together!

Author

Mehul Patel
Mehul Patel, works as a Manager, Solutions Delivery at Knovos. With over 16 years of experience in delivering technology solutions to customers & partners, Mehul plays instrumental role in matching client requirements with solutions. His technical abilities allows him to effectively handle technical queries, facing security audits, and consulting with customers' technical teams. He ensures seamless deployment of Knovos’ solutions and manages post-deployment technical support. He often encounters various real-world challenges and technical use cases in eDiscovery, Information Governance, and Enterprise content collaboration, allowing him to provide valuable feedback to the product lifecycle. His contributions play a significant role in improving Knovos' solutions and services.