Cost of EDI Legal Negotiations
February 27, 2013
By
Ray Atia
Because EDI deals with the exchange of sensitive data between trading partners which can include bills of lading, checks, and even data relative to settlement of insurance claims, a legal agreement will need to be signed between trading partners to formalize and authorize the transmission of data. The very specialized nature of EDI is normally beyond the scope of corporate attorneys and thus requires the services of outside attorneys with EDI experience to write up the legal agreement. Legal counsel will be sought by both trading partners and may result in substantial legal costs before any interchange of data can be conducted. Hourly rates for attorneys with EDI knowledge are at minimum $200. It must be understood that despite the cost of EDI legal negotiations, they pose a saving and protection against any dispute which may later arise.