Cloud computing -started as a buzz word is rapidly embraced by the enterprises and preached by the technological evangelist. Availability of high bandwidth internet at the end user level, and the adoption of vir-tualization for efficient resource utilization by the data-center management has given birth to this new computing paradigm. It promises colossal on-demand processing and storage capacity along with scalable service delivery model. Software solution providers are applying cloud computing to reduce service provisioning cost, by providing their business functionality as a service. However, it requires modification in context of how existing services are provisioned. Existing session management policies require dedicated computing resources to process sessions; this deviate from the concept of "Pay-As-You-Use". To conform to cloud computing ar-chitecture there is need to decouple session management from the provisioned services. Derived by the need of on-demand service provisioning in this paper we present a decentralized session management framework inspired by P2P routing protocol. We call the proposed framework Chord based Session Management Framework for Software as a Service Cloud (CSMC). Applying CSMC eliminates the need of separately deploying computing resources for ses-sions management, in fact CSMC uses existing least utilized resources within Cloud Area Network (CAN). CSMC tested on three different cloud configurations highlights the fact that CSMC can be effectively deployed in cloud to achieve seamless service scalability. Additionally, we have tested CSMC on different web-servers to highlight its efficacy of session management on varied cloud infrastructure.