Vendor Data Protection


  • pay careful attention to vendor information security practices
  • Data ownership
    • data ownership is a common issue
    • clearly convey data ownership in contracts and agreements
    • customer typically wants to retain uninhibited ownership of information
    • limit vendor’s rights to use the information to activities performed on behalf of, and with the knowledge and consent of the customer
  • Secure deletion
    • contract should require the vendor securely delete all customer information within an acceptable period of time after the relationship ends
  • Data sharing
    • include language in vendor agreements that prohibits the vendor from sharing customer information with third parties without explicit consent from the customer
  • Data protection
    • include data protection requirements in the contract
    • important if the vendor is the sole custodian of critical information from the customer
    • specify that vendor is responsible for preserving the information
      • implement fault tolerance and backup procedures
      • may specify exact controls to use
  • Data escrow
    • data escrow places a copy of your org’s data with a neutral third party who protects the data
    • will release data to you if the vendor goes out of business or otherwise fails to meet obligations