"Duplicability is a major concern with ESI (electronically stored information) and the cloud is no different. Multiple copies of records may exist in multiple locations in the cloud. Again, jurisdictional issues could arise and complicate the situation.
Responsiveness and compliance are also areas of concern. What happens when the data is subpoenaed? Can my cloud provider respond effectively to a litigation hold or discovery order? Does my provider's cloud meet any regulatory requirements that apply to my client?
These are all questions and concerns that should be addressed BEFORE committing to a significant use of cloud resources. The service agreement is a good place to start when evaluating cloud providers. It should clearly explain how they would respond to these and other legal requirements."