Contract clauses- Indemnities for cyber risks : Good read
Indemnities for cyber risks - a customer viewpoint James Walsh 18/11/2019 In a recent article , I highlighted that the cyber insurance suppliers have in place may not extend to cover broad indemnities offered by the supplier for cyber and other GDPR-related risks. But what, I have been asked since, is the right position for a customer to take? Clearly some take the view that customers should seek to pass liability for cyber and GDPR-related risks down their supply chain for incidents caused or contributed to by their suppliers, even if suppliers may have difficulties obtaining insurance cover for the risks. I have certainly had occasion to negotiate similar positions for some clients. However, there are a number of very practical reasons why a customer may be better off not seeking broad indemnities for cyber risks in their supply contracts: 1. Losses suffered by a customer for a cyber incident can often be recovered under normal principles of contract law. If a