Three types of agreement that shape your use of data

Whenever you’re accessing, using or sharing data you will be bound by a variety of laws and agreements. I’ve written previously about how data governance is a nested set of rules, processes, legislation and norms.

In this post I wanted to clarify the differences between three types of agreements that will govern your use of data. There are others. But from a data consumer point of view these are most common.

If you’re involved in any kind of data project, then you should have read all of relevant agreements that relate to data you’re planning to use. So you should know what to look for.

Data Sharing Agreements

Data sharing agreements are usually contracts that will have been signed between the organisations sharing data. They describe how, when, where and for how long data will be shared.

They will include things like the purpose and legal basis for sharing data. They will describe the important security, privacy and other considerations that govern how data will be shared, managed and used. Data sharing agreements might be time-limited. Or they might describe an ongoing arrangement.

When the public and private sector are sharing data, then publishing a register of agreements is one way to increase transparency around how data is being shared.

The ICO Data Sharing Code of Practice has more detail on the kinds of information a data sharing agreement should contain. As does the UK’s Digital Economy Act 2017 code of practice for data sharing. In a recent project the ODI and CABI created a checklist for data sharing agreements.

Data sharing agreements are most useful when organisations, of any kind, are sharing sensitive data. A contract with detailed, binding rules helps everyone be clear on their obligations.

Licences

Licences are a different approach to defining the rules that apply to use of data. A licence describes the ways that data can be used without any of the organisations involved having to enter into a formal agreement.

A licence will describe how you can use some data. It may also place some restrictions on your use (e.g. “non-commercial”) and may spell out some obligations (“please say where you got the data”). So long as you use the data in the described ways, then you don’t need any kind of explicit permission from the publisher. You don’t even have to tell them you’re using it. Although it’s usually a good idea to do that.

Licences remove the need to negotiate and sign agreements. Permission is granted in advance, with a few caveats.

Standard licences make it easier to use data from multiple sources, because everyone is expecting you to follow the same rules. But only if the licences are widely adopted. Where licences don’t align, we end up with unnecessary friction.

Licences aren’t time-limited. They’re perpetual. At least as long as you follow your obligations.

Licences are best used for open and public data. Sometimes people use data sharing agreements when a licence might be a better option. That’s often because organisations know how to do contracts, but are less confident in giving permissions. Especially if they’re concerned about risks.

Sometimes, even if there’s an open licence to use data, a business would still prefer to have an agreement in place. That’s might be because the licence doesn’t give them the freedoms they want, or they’d like some additional assurances in place around their use of data.

Terms and Conditions

Terms and conditions, or “terms of use” are a set of rules that describe how you can use a service. Terms and conditions are the things we all ignore when signing up to website. But if you’re using a data portal, platform or API then you need to have definitely checked the small print. (You have, haven’t you?)

Like a Data Sharing Agreement, a set of terms and conditions is something that you formally agree to. It might be by checking a box rather than signing a document, but its still an agreement.

Terms of use will describe the service being offered and the ways in which you can use it. Like licences and data sharing agreements, they will also include some restrictions. For example whether you can build a commercial service with it. Or what you can do with the results.

A good set of terms and conditions will clearly and separately identify those rules that relate to your use of the service (e.g. how often you can use it) from those rules that relate to the data provided to you. Ideally the terms would just refer to a separate licence. The Met Office Data Point terms do this.

A poorly defined set of terms will focus on the service parts but not include enough detail about your rights to use and reuse data. That can happen if the emphasis has been on the terms of use of the service as a product, rather than around the sharing of data.

The terms and conditions for a data service and the rules that relate to the data are two of the important decisions that shape the data ecosystem that service will enable. It’s important to get them right.

Hopefully that’s a helpful primer. Remember, if you’re in any kind of role using data then you need to read the small print. If not, then you’re potentially exposing yourself and others to risks.

One thought on “Three types of agreement that shape your use of data

  1. Where does the third sector stand on this; the Wikimedia Foundation for, example, and other worldwide open data repositories? I ask because we exchanged emails back in 2018 that fizzled out just as Innovation UK were looking at the potential for third-sector, socail entrepreneur starups.

    At present, there’s a yawning gap between successful startups in the commerial sector becoming philanthropic funders to third-sector organisations that deliver real social wealth to communities.

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