Common use of Compromised Security Clause in Contracts

Compromised Security. In the event that Data collected or obtained by the Contractor in connection with this Agreement is believed to have been compromised, lost, accessed by an unauthorized party, or otherwise breached as defined by NIST as a “data breach” (collectively “Data Breach”), Contractor shall notify the City immediately. Contractor shall investigate their systems of any suspected Data Breach in accordance with Contractor’s incident response plan and report findings to the City. Contractor agrees to reimburse the City for any costs the City incurs to resolve potential breaches incurred due to the Contractor, including, where applicable, the cost of identifying and assisting individuals who may be impacted by the Contractor’s breach, legal fees and fines associated with the data breach, and legal requirements issued by a local, state, or federal court.