Common use of Performance Audit Clause in Contracts

Performance Audit. 4.7.1 Upon reasonable prior notice to Contractor, with respect to the Scope of Work, the Agency and/or its designated representative may conduct a performance audit on Contractor’s premises or the Site of the Services (including those used by any subcontractors of Contractor) to ensure Contractor’s compliance with the terms of this Agreement (including Service Levels) and applicable laws and regulations, to evaluate Contractor’s performance hereof, for the Agency’s operational risk assessment, data security assessment, disaster recovery/business continuity assessment, information technology risk assessment, and as otherwise required for regulatory and reporting purposes (each such inspection and review, a “Performance Audit”). Contractor will provide to the Agency and/or its designated representative all necessary access to the following information: Names of Contractor’s and subcontractors’ employees and agents; Contractor and its subcontractors’ facilities and infrastructure; and all support reasonably necessary in connection with Performance Audit at no charge to the Agency and/or its designated representative for any reasonable use related to the Performance Audit. Any Performance Audit shall be conducted during Contractor’s normal business hours in such a manner as not to interfere with Contractor’s normal business activities. 4.7.2 Without limiting Contractor’s obligations or the Agency’s rights and remedies provided elsewhere in this Agreement, or otherwise, if, as a result of any Performance Audit or at any other time it is determined by the Agency that Contractor has not complied with the terms of this Agreement or has failed to perform in accordance with the requirements thereof (each, a “Performance Failure”), the Agency will notify Contractor, in writing, of such Performance Failure, and Contractor shall: (i) notify the appropriate management levels that a problem has occurred; (ii) attempt to isolate the reason for the Performance Failure;