John Pearce after Bruce Toback,

> >Well, the Y2K panic has hit here.
> >
> >Today I opened a letter from the landlord of our office building:
> >
> >    Most, if not all, computer systems either have, or may have,
> >    a programming malfunction or interface deficiency which could
> >    impede your ability to operate and otherwise live up to your
> >    lease obligations. ...
> >
>
> It seems that every Y2K consultant is telling their clients to "get a
> written statement of Year 2000 compliance or readiness."  In the last few
> months, I've responded to three questionnaires from the bank that provides
> a revolving line of credit and an informal questionnaire from the Missouri
> PUC.

<snip>

Oh yeah - and most of them are driven by who?  The Big-Eight for the most
part, who are receiving their large fees in doing so.  Oh - and isn't one of
them getting sued over a system they implemented for one of their clients
back in the early 80s?

Wanna see how we're handling it?  Go to http://www.csillc.com/Y2KPolicy.html
to view a letter we sent to our clients outlining our Y2K Policy.  Basically
(and bluntly), we put it right back on the client for their data, the vendor
for any product we integrate and any hardware vendor for their equipment.

The decision and policy decisions were simple.  We focus on our customer,
and as such, it's purely economic.  Sure, we could pay 400% more for our E&O
cover.  We, of course, would need to pass that expense through to our
clients as well.  Many of our clients are smaller concerns who would not be
able to afford what we would need to charge in terms of rates - either fixed
rate project or hourly T&M.

(For the uninitiated:  "E&O Cover" is "Errors and Omissions Insurance" -
carried by any reputable firm to protect them from lawsuits arising from
Errors and Omissions in their agreements.  For example, if our agreement
states a particular deliverable, and we fail to deliver it, within certain
circumstances, the client can sue us.  To our credit - we've never been sued
;)  We never intend to be sued either!)

Anyway - more and more firms in our situation are instituting policies such
as this.  The Y2K madness has started, the lawsuits (ones with merit, and
the frivilous) have started.  The insurance companies are bankrolling for
them (hence the hefty premiums for E&O Cover), and we prefer to stay the
hell out of it as much as possible.  So do a lot of other firms.  Don't be
surprised if you outsource your work, if you see Terms and Conditions such
as the ones we include in ours.

Best Regards,
Joe

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