Legal mandates flow from the host of sources. These include constitutions, statutes, administrative rules and decisions, executive orders and actions, judicial decisions, contracts and international law.
Legal mandates impinge upon the autonomy of parties to structure and negotiate their own business arrangements. But such arrangements can create their own web of mandates.
In outsourcing, compliance with all applicable laws is a concern for both parties and their constituencies. The key to successful outsourcing is a mutual support for each other’s compliance with laws. Such support requires an understanding of how the services will be developed, delivered and used, how the services fit within the regulatory framework of the enterprise customer, and whether the services themselves require any regulatory licensing.