Civilian Federal Contractors
All civilian non-DOD contractors must comply with the Federal Acquisition Regulation (FAR) clause, part 52.204-21, which defines a set of cyber security measures to help ensure basic safeguarding of federal contract information that is processed, stored, or transmitted by contractor systems. The FAR clause includes a flow down provision, which means the requirements apply not only to the contractor, but also to all of its subcontractors and suppliers. A contractor can be held financially liable for the actions of sub-contractors in the event of a data breach.
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