Common use of Effect of Security Breach Clause in Contracts

Effect of Security Breach. Upon the occurrence of a Security Breach caused by inadequacies in Contractor’s security systems, procedures, and or firewalls, the District may terminate this Agreement in accordance with District policies. The District may require Contractor to suspend all Services, pending the investigation and successful resolution of any Security Breach, and Contractor may be required to reimburse District all amounts paid for any period during which Services were not rendered, as provided herein. Contractor acknowledges that, as a result of a Security Breach, the District may also elect to disqualify Contractor and any of its Subcontractors from future contracts with the District. These provisions do not go into effect as a result of a Security Breach caused by the District or an individual user who self-compromises their own PII or user credentials.