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Comment by hattmall

Run your cloud contracts (or anything possible to incur liability) through a separate LLC so if there are billing issues you can just move on.

The structure should look like:

"My App LLC" has contract with "My Host LLC" for hosting services. "My Host LLC" provides those services via a cloud provider. If "My Host LLC" racks up a 2 million dollar bill with the cloud provider and goes out of business then I just move to "New Host LLC" and carry on.

It's not as if the patients of a Doctor who fails to pay his office rent would become liable.

This is the entire purpose of LLCs.

parent hattmall 1 year ago

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