Cloud computing - jurisdiction of data

The Gehrson Lehrman Group provides an interesting article on jurisdiction of data in the cloud - which is one of the top 5 cloud computing security issues according to ComputerWeekly. From the GLG site:

Agreements can be made concerning the jurisdiction over disputes concerning the data. However, disputes involving other entities not parties to that agreement may not be subject to the agreement. Accordingly, cloud computing presents uncertainty and has the potential for future disputes concerning jurisdiction.

I addressed this issue shortly in earlier post on CloudComputingTopics. Clearly, the data location and jurisdiction issue is one of the more sensitive and thorny concerns in cloud computing that need to be addressed through international cooperation on legislature levels.