Recording important things isn’t new; glancing through history there are hieroglyphics, cassettes, tape, and now, digital cloud storage. Think of the giant filing cabinet in your parents’ house with any document you could ever possibly need (and all the ones you don’t) that sits there just in case. Having all of the records in that filing cabinet isn’t a bad thing- you may need something in there at a time undisclosed to you. Keeping everything on file may seem overzealous to most, but there is something to say about being safe rather than sorry - hence why thousands of people across the globe refuse to throw away anything that might seem important. That’s the foundation to understanding what a Legal System of Record is.
What important website events need digital records?
Most. A company’s website has loads of customer data floating around as users sign-up for services or complete transactions. When a customer decides to use a site and agree to a site’s terms, that information should be captured and stored in the digital filing cabinet, also known as the cloud.
Additionally, when transactions are made and further data is acquired, that’s even more information that needs stored. All of this info is not only proof of what users are agreeing to, but is also proof that a company has made it clear through explicit notice of what is expected of their customers. Every company with an online presence needs record of this- just in case. If someone asks what that person’s history as a company’s user is, using a legal system of record will provide easy digital records of all activity that has taken place within a website.
Is having a legal system of record a touchy subject internally?
It can be! Companies want to think that they are already completely legally compliant. If lawyers have been hired and the proper online agreements have been written up, the majority believe they're good to go. But we know that's not always true.
With the millions of customers crossing websites and platforms at any given second, it can be difficult for SaaS and ecommerce companies to be upfront and open about how their company is securing data. PactSafe is the legal system of record built to gain customer compliance via secure sign-up and checkout flows easily remedying this common legal blind spot.
Are legal companies the only ones who need this?
Let’s squash the idea that non-legal companies don’t need a system of record. They do! That’s because the law applies to everyone. Online exchanges of goods and services through e-commerce and the self-service economy are increasing rapidly, even in places we wouldn’t dream of looking. Therefore, it is vital that records of these exchanges are maintained and stored where they are easily accessible for everyone on your team. Long-term relationships with customers can quickly disappear if trust is not a priority. PactSafe acts as the legal system of record tracking every agreement on a website and storing it until it’s needed; just like the trusty filing cabinet - except better, because it takes up less space and can’t be burned in a fire.