Encryption clause: Copy, customize, and use instantly

Introduction

An encryption clause outlines the parties' responsibilities to implement and maintain encryption measures for protecting sensitive data during storage and transmission. This clause ensures that both parties take the necessary steps to prevent unauthorized access to confidential information, ensuring the security and integrity of data.

Below are templates for encryption clauses tailored to different scenarios. Copy, customize, and insert them into your agreement.

Encryption clause (general)

This version outlines general encryption requirements.

The Parties agree to implement encryption measures to protect sensitive data during both transmission and storage. The Parties will use industry-standard encryption algorithms to safeguard all data exchanged or stored as part of this Agreement, ensuring that unauthorized access is prevented at all stages. Both Parties will periodically review their encryption protocols to ensure they remain up-to-date with the latest security standards.

Encryption clause (with specific encryption standards)

This clause specifies encryption standards.

The Parties agree to use strong encryption protocols to protect sensitive data, including [list specific encryption standards, e.g., AES-256, TLS 1.2 or higher]. Both Parties will ensure that all data in transit and at rest is encrypted using these standards and will take necessary steps to ensure compliance with applicable encryption laws and regulations. Any encryption keys will be stored securely and managed according to best practices.

Encryption clause (with focus on compliance with regulations)

This version emphasizes compliance with encryption regulations.

The Parties agree to implement encryption practices that comply with applicable laws, regulations, and industry standards, including [list relevant regulations such as GDPR, HIPAA, or CCPA]. Both Parties will ensure that all personal, financial, or other sensitive data is encrypted in accordance with the requirements of these regulations to protect the confidentiality and integrity of such data.

Encryption clause (with encryption key management)

This clause addresses encryption key management.

The Parties agree to implement robust key management procedures for any encryption keys used to protect data. Both Parties will store encryption keys securely, use access controls to limit key access, and periodically rotate keys to prevent unauthorized decryption of sensitive information. The Parties will also ensure that encryption keys are backed up securely and can be recovered in case of failure.

Encryption clause (with focus on data in transit)

This version focuses on protecting data during transmission.

The Parties agree to encrypt all data transmitted between them, whether through email, file transfer, or other communication methods, using secure encryption protocols such as TLS or SSL. Both Parties will ensure that sensitive data is adequately protected during transmission to prevent interception or unauthorized access by third parties.

Encryption clause (with focus on data at rest)

This clause focuses on protecting data stored at rest.

The Parties agree to encrypt all sensitive data stored on physical or cloud-based storage systems, ensuring that unauthorized access to stored data is prevented. Both Parties will use industry-standard encryption methods to secure data at rest and will regularly review and update their encryption practices to protect against evolving threats.

Encryption clause (with provision for secure data access)

This version ensures secure data access.

The Parties agree to implement encryption measures that restrict access to sensitive data, ensuring that only authorized personnel can decrypt and access such information. Both Parties will use access controls, including multi-factor authentication, in combination with encryption to secure access to sensitive data, and will regularly review user access permissions.

Encryption clause (with periodic encryption audits)

This clause includes provisions for periodic audits.

The Parties agree to conduct periodic audits of their encryption practices to ensure compliance with this Agreement and relevant security standards. Both Parties will assess their encryption protocols, systems, and key management procedures during these audits and will make necessary adjustments to maintain the security and confidentiality of sensitive data.

This version includes breach response provisions related to encryption.

The Parties agree to take immediate action if a breach of encrypted data occurs, including notifying the other Party and relevant authorities within the timeframe required by applicable regulations. Both Parties will work together to investigate the breach, determine if any data was decrypted without authorization, and implement remediation actions to prevent further breaches.

Encryption clause (with data recovery)

This clause addresses data recovery after encryption failure.

The Parties agree to establish a secure data recovery plan in the event that encrypted data becomes inaccessible due to encryption failure or key loss. Both Parties will implement procedures to ensure the availability of encrypted data while maintaining its security, including regular backups and testing of recovery mechanisms.

Encryption clause (with encryption for third-party access)

This version covers encryption for third-party access.

The Parties agree to ensure that any third-party vendors or partners with access to encrypted data implement equivalent encryption measures to protect the data. Both Parties will require third parties to adhere to the encryption standards specified in this Agreement and will regularly review third-party compliance to ensure the continued protection of sensitive data.

Encryption clause (with secure file sharing)

This clause includes provisions for secure file sharing.

The Parties agree to use encryption when sharing sensitive data via file sharing platforms, ensuring that all files are encrypted during transmission and while stored on shared platforms. Both Parties will only use secure file sharing services that provide end-to-end encryption to protect the confidentiality of sensitive information during sharing and storage.

Encryption clause (with hybrid encryption approach)

This version uses a hybrid encryption approach.

The Parties agree to use a hybrid encryption approach, combining symmetric encryption for data at rest and asymmetric encryption for data in transit. Both Parties will ensure that all sensitive data is encrypted using appropriate encryption methods for the specific use case, ensuring the highest level of security while maintaining system efficiency.

Encryption clause (with encryption of backups)

This clause ensures encryption of backups.

The Parties agree to encrypt all backups containing sensitive data, both in transit and at rest. Both Parties will ensure that backup data is stored securely and that encryption protocols are followed to prevent unauthorized access or data breaches. Backups will be encrypted using the same standards applied to operational data.

Encryption clause (with compliance with encryption industry standards)

This version addresses compliance with industry standards.

The Parties agree to comply with encryption industry standards, such as those defined by the National Institute of Standards and Technology (NIST) and the International Organization for Standardization (ISO). Both Parties will ensure that their encryption practices meet or exceed the standards set forth in these frameworks and will update their encryption protocols to remain in compliance with evolving best practices.

Encryption clause (with provision for secure mobile device access)

This clause includes secure mobile device access provisions.

The Parties agree to implement encryption measures for mobile devices that access sensitive data or systems. Both Parties will ensure that all mobile devices, including smartphones and tablets, are encrypted and protected with strong passwords or biometrics, and will enforce policies that prohibit the storage of sensitive data on unencrypted mobile devices.

Encryption clause (with continuous improvement of encryption practices)

This version ensures continuous improvement of encryption practices.

The Parties agree to continuously evaluate and improve their encryption practices to keep pace with advances in technology and emerging security threats. Both Parties will stay informed of new encryption standards and vulnerabilities, and will update their encryption protocols as needed to ensure the ongoing protection of sensitive data.

Encryption clause (with audit rights for encryption compliance)

This clause includes audit rights for encryption compliance.

The Parties agree to grant each other the right to audit their encryption practices and compliance with this Agreement. Both Parties will cooperate in providing access to relevant records and systems to verify that encryption standards are being met, and will take prompt action to resolve any identified deficiencies.

Encryption clause (with emphasis on encryption for cloud services)

This version includes encryption provisions for cloud services.

The Parties agree to encrypt all sensitive data stored or processed in cloud services. Both Parties will ensure that cloud service providers implement end-to-end encryption for data both in transit and at rest. Both Parties will regularly audit the security practices of cloud service providers to ensure compliance with encryption standards and data protection requirements.

Encryption clause (with encryption for API communications)

This clause covers encryption for API communications.

The Parties agree to implement encryption for all API communications that involve the exchange of sensitive or confidential information. Both Parties will use secure communication protocols, such as TLS, to ensure that data transmitted via APIs is encrypted and protected from interception or unauthorized access.

Encryption clause (with key access restrictions)

This version addresses restrictions on access to encryption keys.

The Parties agree to implement strict access controls for encryption keys used to secure sensitive data. Both Parties will restrict access to encryption keys to authorized personnel only, and ensure that encryption keys are stored in a secure key management system. Access to encryption keys will be regularly reviewed to ensure compliance with security protocols.

Encryption clause (with two-factor authentication for decryption access)

This clause includes two-factor authentication (2FA) for decryption access.

The Parties agree that two-factor authentication (2FA) will be required for access to any system or data that has been encrypted. Both Parties will ensure that 2FA is enabled for users who need to decrypt sensitive data, adding an additional layer of security to prevent unauthorized access to encrypted information.

Encryption clause (with compliance with specific encryption regulations)

This version ensures compliance with specific encryption regulations.

The Parties agree to comply with applicable encryption regulations, including those specified by the [list relevant regulatory bodies, e.g., Federal Communications Commission (FCC), General Data Protection Regulation (GDPR), etc.]. Both Parties will ensure that all encryption methods used meet or exceed the standards set forth by these regulatory bodies, and will regularly audit their encryption practices to remain in compliance.

Encryption clause (with encryption for personal data)

This clause ensures encryption for personal data.

The Parties agree to implement encryption for all personal data, whether in transit or at rest, to ensure that it is adequately protected from unauthorized access or disclosure. Both Parties will comply with applicable data protection laws, such as the GDPR or CCPA, and ensure that encryption is used as part of their broader data protection strategy.

Encryption clause (with backup data encryption)

This version addresses backup data encryption.

The Parties agree to encrypt all backup copies of sensitive data, including those stored off-site or in cloud environments. Both Parties will implement encryption standards for backup data to ensure that it is protected from unauthorized access and remains secure in the event of a data breach or disaster recovery scenario.

Encryption clause (with automatic encryption key rotation)

This clause includes automatic key rotation.

The Parties agree to implement automatic encryption key rotation at regular intervals to enhance security. Both Parties will ensure that encryption keys are rotated in accordance with industry standards and that key management processes are updated to support this practice. Key rotation will be performed without disrupting ongoing operations or access to encrypted data.

Encryption clause (with data integrity checks)

This version includes data integrity checks alongside encryption.

The Parties agree to implement data integrity checks in addition to encryption measures to ensure the authenticity and accuracy of encrypted data. Both Parties will use hashing and other integrity verification techniques to confirm that data has not been tampered with during transmission or storage, and will notify the other Party of any discrepancies.

Encryption clause (with encryption policy)

This clause requires an encryption policy.

The Parties agree to establish and adhere to a formal encryption policy that outlines the procedures for encrypting sensitive data, managing encryption keys, and ensuring compliance with encryption standards. Both Parties will review the encryption policy regularly to account for changes in technology, industry standards, and applicable regulations.

Encryption clause (with role-based encryption access)

This version addresses role-based encryption access.

The Parties agree to implement role-based access controls (RBAC) for encrypted data. Both Parties will ensure that only authorized personnel with specific roles and responsibilities will have the ability to decrypt and access sensitive data, and will regularly review and update these access controls to reflect any changes in personnel or roles.

Encryption clause (with encryption for remote access)

This clause includes provisions for remote access encryption.

The Parties agree to ensure that all remote access to systems containing sensitive data is encrypted. Both Parties will use Virtual Private Networks (VPNs), secure tunneling protocols, and other encryption methods to protect remote connections, ensuring that sensitive data is safeguarded while being accessed off-site.

Encryption clause (with encryption for email communications)

This version addresses encryption for email communications.

The Parties agree to encrypt all email communications that contain sensitive or confidential information. Both Parties will implement secure email encryption protocols, such as S/MIME or PGP, to protect the integrity and confidentiality of email contents, ensuring that unauthorized parties cannot access or alter the information during transmission.

Encryption clause (with review of encryption practices)

This clause includes regular reviews of encryption practices.

The Parties agree to review their encryption practices and security measures on a regular basis to ensure that they remain effective in protecting sensitive data. Both Parties will update their encryption standards as necessary to address new threats, vulnerabilities, or changes in regulatory requirements.

Encryption clause (with encryption of sensitive customer data)

This version focuses on the encryption of customer data.

The Parties agree to encrypt all sensitive customer data, including personally identifiable information (PII), payment details, and health records. Both Parties will ensure that this data is encrypted both during transmission and while at rest, and will take necessary steps to protect it from unauthorized access or theft.

Encryption clause (with training on encryption protocols)

This clause includes training provisions for encryption protocols.

The Parties agree to provide regular training for employees on the proper use of encryption protocols and the importance of protecting sensitive data. Both Parties will ensure that their staff are educated on how to handle encrypted data securely, use encryption tools correctly, and follow best practices for managing encryption keys.

Encryption clause (with multi-layer encryption)

This version uses multi-layer encryption for additional security.

The Parties agree to implement multi-layer encryption techniques to enhance the security of sensitive data. Both Parties will apply encryption at multiple levels, including at the file, disk, and network layers, to provide comprehensive protection against unauthorized access or cyber threats.

This clause includes a legal obligation to maintain encryption.

The Parties agree to maintain encryption for all sensitive data as required by applicable laws and regulations. Both Parties will ensure that encryption standards are adhered to throughout the term of this Agreement and will take any necessary actions to remain in compliance with legal requirements for data protection and security.

Encryption clause (with collaboration on encryption efforts)

This version promotes collaboration on encryption efforts.

The Parties agree to collaborate in maintaining robust encryption practices to protect sensitive data. Both Parties will share information about emerging encryption technologies, potential vulnerabilities, and best practices, working together to enhance the security of their data and systems.

Encryption clause (with breach penalties for encryption failures)

This clause includes penalties for encryption failures.

The Parties agree that failure to properly implement encryption measures as outlined in this Agreement will result in penalties, including [specify penalties]. Both Parties will ensure that all sensitive data is adequately protected through encryption and that any failures to meet encryption standards are promptly addressed and rectified.

Encryption clause (with specific encryption for financial transactions)

This version focuses on encrypting financial transactions.

The Parties agree to implement encryption protocols specifically for financial transactions, including payments and billing information. Both Parties will ensure that all financial data is encrypted during transmission and storage, using industry-standard encryption methods, to protect against fraud, theft, or unauthorized access.

Encryption clause (with encryption of access credentials)

This clause focuses on encryption for access credentials.

The Parties agree to encrypt all access credentials, such as usernames, passwords, and authentication tokens, to prevent unauthorized access to sensitive systems. Both Parties will use strong encryption methods to protect these credentials both during storage and while in transit, ensuring that they cannot be intercepted or compromised.

This version addresses encryption for health-related data.

The Parties agree to implement encryption to protect all health-related data, including medical records, diagnoses, and personal health information (PHI). Both Parties will ensure that this data is encrypted during both storage and transmission, in compliance with relevant privacy laws such as HIPAA, to prevent unauthorized access or data breaches.

Encryption clause (with encryption compliance with HIPAA)

This clause ensures encryption compliance with HIPAA.

The Parties agree to encrypt all sensitive health information, including medical records, in compliance with the Health Insurance Portability and Accountability Act (HIPAA). Both Parties will ensure that all data covered under HIPAA regulations is encrypted both in transit and at rest, and that appropriate encryption protocols are followed to safeguard patient privacy.

Encryption clause (with data anonymization and encryption)

This version includes data anonymization alongside encryption.

The Parties agree to implement both data anonymization and encryption techniques to protect sensitive data. Both Parties will ensure that any personal or identifiable data is anonymized and encrypted to prevent any unauthorized identification or access to confidential information.

Encryption clause (with encryption for IoT devices)

This clause addresses encryption for Internet of Things (IoT) devices.

The Parties agree to implement encryption measures for all Internet of Things (IoT) devices that transmit or store sensitive data. Both Parties will ensure that IoT devices are secured with appropriate encryption methods to prevent unauthorized access, data breaches, or tampering with device functionality.

Encryption clause (with encryption of logs and audit trails)

This version ensures encryption for logs and audit trails.

The Parties agree to encrypt all logs and audit trails that record sensitive actions, access, and changes within systems. Both Parties will ensure that these logs are stored securely and that encryption is used to protect the integrity of audit data, preventing unauthorized modifications or unauthorized access.

Encryption clause (with encryption for e-commerce transactions)

This clause addresses encryption for e-commerce transactions.

The Parties agree to use encryption methods to protect all e-commerce transactions, including credit card payments and customer order details. Both Parties will implement secure payment protocols, such as SSL or TLS encryption, to ensure the security and confidentiality of customer transactions.

Encryption clause (with encryption of backup systems)

This version covers the encryption of backup systems.

The Parties agree to encrypt all backup systems and storage devices that contain sensitive data. Both Parties will ensure that encrypted backups are securely stored, including off-site backups, and that these backups are regularly tested for integrity to ensure they can be safely restored if needed.

Encryption clause (with cloud encryption service requirements)

This clause specifies encryption requirements for cloud services.

The Parties agree to ensure that all data stored or processed through cloud services is encrypted using industry-standard encryption techniques. Both Parties will confirm that their cloud service providers implement encryption for both data at rest and data in transit, and will regularly verify that cloud encryption practices comply with agreed-upon security standards.

Encryption clause (with encryption for mobile applications)

This version focuses on encryption for mobile applications.

The Parties agree to implement encryption for all mobile applications that store or process sensitive data. Both Parties will ensure that encryption is used to protect data on mobile devices, including both local storage and data transmitted via mobile applications, to protect against unauthorized access or interception.

Encryption clause (with encryption of system configurations)

This clause ensures encryption of system configurations.

The Parties agree to encrypt all system configurations, including system settings, configurations, and operational parameters that are critical to system security. Both Parties will ensure that this data is securely encrypted to prevent unauthorized access and to protect the integrity of the system configurations.

Encryption clause (with encryption for encrypted backups and storage)

This version ensures encryption for encrypted backups.

The Parties agree to encrypt all backup data, including encrypted backups, using a secure encryption standard. Both Parties will ensure that backup copies of sensitive data, whether online or offline, remain encrypted to prevent unauthorized access or exposure of confidential information.

Encryption clause (with encryption for end-user devices)

This clause covers encryption for end-user devices.

The Parties agree to encrypt all end-user devices, including laptops, smartphones, and tablets, that are used to access or store sensitive information. Both Parties will ensure that these devices are encrypted with strong encryption methods, such as AES-256, to protect against data theft or unauthorized access.

Encryption clause (with encryption of database connections)

This version addresses encryption for database connections.

The Parties agree to encrypt all database connections used to transmit sensitive information. Both Parties will ensure that secure protocols such as SSL or TLS are used to encrypt database connections, preventing unauthorized interception or alteration of data during transmission between systems and databases.

Encryption clause (with encryption for legacy systems)

This clause addresses encryption for legacy systems.

The Parties agree to implement encryption for any legacy systems that store or process sensitive data. Both Parties will ensure that legacy systems are upgraded or retrofitted with appropriate encryption measures to prevent vulnerabilities associated with outdated security protocols.

Encryption clause (with encryption for all endpoints)

This version includes encryption for all endpoints.

The Parties agree to implement encryption for all endpoints, including servers, desktops, laptops, and mobile devices, that access sensitive data. Both Parties will ensure that encryption is used across all endpoints to prevent unauthorized access, data breaches, or any compromise of sensitive information.

Encryption clause (with integration of encryption into existing systems)

This clause focuses on the integration of encryption into existing systems.

The Parties agree to integrate encryption into their existing systems, including legacy and current platforms, to ensure that sensitive data is encrypted both during transmission and at rest. Both Parties will ensure that encryption is implemented in accordance with industry best practices without compromising system performance or usability.

Encryption clause (with compliance with encryption frameworks)

This version ensures compliance with encryption frameworks.

The Parties agree to comply with established encryption frameworks, such as the NIST Cybersecurity Framework and ISO 27001, to implement and maintain encryption measures. Both Parties will ensure that all encryption practices align with these frameworks to ensure the highest levels of security and data protection.

Encryption clause (with responsibility for maintaining encryption systems)

This clause outlines the responsibility for maintaining encryption systems.

The Parties agree to take responsibility for maintaining and updating encryption systems, ensuring that encryption standards are regularly reviewed and upgraded as needed. Both Parties will ensure that encryption systems remain operational and effective throughout the term of this Agreement, and will promptly address any issues that arise.

Encryption clause (with encryption standards review)

This version includes provisions for reviewing encryption standards.

The Parties agree to review and update their encryption standards at regular intervals, or whenever there is a significant change in security requirements or technology. Both Parties will ensure that their encryption practices remain up-to-date and compliant with industry standards to mitigate emerging cyber threats.

This article contains general legal information and does not contain legal advice. Cobrief is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.