Data residency
Definition Where data is physically stored and processed—which country's or region's servers hold it. Residency determines which jurisdictions' laws can reach the data and is a common requirement in client and regulatory commitments.
In more depth
Cloud AI services may process requests in data centers around the world unless the contract pins processing to a particular region, an option some providers offer. Residency matters for legal work because privacy statutes, cross-border transfer rules, and some client engagement terms restrict where matter data may go. Residency is distinct from retention: data can sit in the right country and still be kept longer, or used more broadly, than intended.
Related terms
Educational information, not legal advice. AI terminology and tools change quickly; definitions reflect usage as of the last-updated date. For what bar associations and courts actually require of lawyers using AI, see legalaicompliance.help and consult a licensed attorney in your jurisdiction.