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Notice Under 18 USC 1030 and Notice Regarding Criminal Charges. Client agrees to inform all proper parties and authorities [including any and all third parties who may be affected] as required in order to conduct Services and agrees not to file a complaint with legal or public authorities for the penetration testing. Furthermore, Client agrees to come to the aid of Consultant if the local police, sheriff, FBI, FTC, or other governmental agency should detain or question them in any manner during the course of Services being provided under this Agreement. The Client agrees to defend and hold Consultant harmless from any civil or criminal liability or damage arising from the performance of Services under this Agreement including but not limited to claims for violations of property trespass, breaking and entering, privacy laws, and criminal computer laws including but not limited to 18 USC 1030. Furthermore Client shall indemnify and hold Consultant harmless for any and all claims, damages, expenses and liabilities to any third party which may arise as a result of such Services being performed under this Agreement.
Client understands that a breach of this provision or this Agreement may result in criminal charges being filed against Consultant and therefore agrees, if Client, directly or indirectly, fails to properly inform all necessary parties and authorities in violation of this section, Client will pay to Consultant $25,000 for each one of Consultant’s employees/contractors/agents that have criminal charges brought against them, as liquidated damages, plus all reasonable costs that Consultant incurs in providing a qualified legal defense, including, but not limited to all reasonable legal fees. Client and Consultant agree that this amount represents the best estimate of Consultant’s expected actual losses and damages including, but not limited to, foregone business opportunities, loss of reputation and other incidental and consequential damages. Client acknowledges that this amount is not a penalty. This section survives the termination of this Agreement.
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