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Security Risk Terrorism Agreement

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SECURITY RISK TERRORISM AGREEMENT

This Security Risk Terrorism Agreement (the Agreement) is entered into by and between:

Client Name:

Service Provider Name:

Effective Date:

WHEREAS

WHEREAS, Client operates premises, assets or activities that may be exposed to acts of terrorism, sabotage, or politically-motivated violence and seeks specialized security risk assessment, mitigation and advisory services; and

WHEREAS, Service Provider represents that it has the technical expertise, licensing, personnel, and insurance to perform security risk assessments, planning, training and protective services related to terrorism risk, and agrees to provide such services under the terms set forth herein; and

WHEREAS, the parties desire a written agreement that allocates responsibilities, payment, confidentiality, and remedies with respect to the services to be provided.

SCOPE OF WORK

Service Provider shall perform the tasks described below and any ancillary tasks reasonably necessary for effective risk reduction and preparedness.

PAYMENT TERMS

Client shall pay Service Provider for services rendered in accordance with the following terms.

Late Payment: If any undisputed amount is not paid within days of its due date, interest shall accrue at the lesser of (i) % per month (18% annualized) or (ii) the maximum rate permitted by applicable law. Client shall also reimburse reasonable costs of collection.

Reimbursable Expenses: Travel, lodging, equipment rental and third-party vendor costs pre-approved in writing by Client are reimbursable upon submission of receipts and shall be billed in accordance with the payment schedule.

TERM AND TERMINATION

This Agreement commences on Start Date: and expires on End Date: , unless earlier terminated in accordance with this section.

Either party may terminate for convenience upon days' prior written notice. Either party may terminate immediately for material breach that remains uncured for thirty (30) days after written notice of such breach or for bankruptcy, insolvency, or illegal conduct relating to terrorism or violent wrongdoing.

CONFIDENTIALITY

For purposes of this Agreement, "Confidential Information" means non-public information disclosed by one party to the other that is identified as confidential or which, by its nature, ought reasonably to be treated as confidential, including vulnerability assessments, security plans, incident reports, and operational protocols. Confidential Information does not include information that: (a) is or becomes publicly known through no breach of this Agreement; (b) is rightfully received from a third party without restriction; (c) is independently developed without use of the disclosing party's Confidential Information; or (d) is required to be disclosed by applicable law or court order, provided the receiving party gives prompt written notice and cooperates to limit disclosure.

Each party shall protect Confidential Information using at least the same degree of care it uses to protect its own confidential information but no less than a reasonable standard. Obligations of confidentiality shall survive termination for a period of years, except that trade secrets shall be protected for as long as they qualify as trade secrets.

INSURANCE, INDEMNITY AND LIMITATION OF LIABILITY

Service Provider shall maintain commercial general liability, professional liability/errors and omissions, and workers' compensation insurance with limits sufficient for the services performed. Minimum commercial general liability limits shall be USD per occurrence. Certificate of insurance shall be furnished upon request.

Indemnity: Service Provider shall indemnify, defend and hold Client harmless from third-party claims arising from Service Provider's negligent acts or willful misconduct in performance of the services, except to the extent caused by Client's gross negligence or willful misconduct. This indemnity does not apply to claims arising from acts of terrorism committed by unrelated third parties where Service Provider complied with the standard of care set forth in this Agreement.

Limitation of Liability: Except for liability arising from gross negligence, willful misconduct, or indemnity obligations, neither party's aggregate liability for direct damages under this Agreement shall exceed the aggregate fees paid to Service Provider under this Agreement during the twelve (12) month period preceding the claim.

COMPLIANCE AND SECURITY PROTOCOLS

Service Provider shall comply with applicable laws, regulations, and industry standards in performing services. Service Provider shall implement security protocols reasonably necessary to protect personnel and information during assessments and operations. In the event of an actual or suspected security incident, Service Provider shall notify Client without undue delay and cooperate in incident response and remediation.

GOVERNING LAW

This Agreement shall be governed by and construed in accordance with the laws of without regard to conflict of law principles. Venue for any dispute shall be in the courts located within that jurisdiction, unless the parties mutually agree otherwise in writing.

ENTIRE AGREEMENT; AMENDMENT

This Agreement, including all attachments and written change orders executed by authorized representatives of the parties, constitutes the entire agreement between the parties with respect to its subject matter and supersedes all prior and contemporaneous agreements, proposals and communications, whether written or oral. Any amendment must be in writing and signed by authorized representatives of both parties.

NOTICES

ADDITIONAL PROVISIONS

Relationship of the Parties: The parties are independent contractors. Nothing in this Agreement creates a partnership, joint venture, agency or employment relationship.

Severability: If any provision is held invalid or unenforceable, the remaining provisions shall remain in full force and effect.

Counterparts: This Agreement may be executed in counterparts and by electronic signature, each of which shall be deemed an original and all of which together shall constitute one instrument.

Client

Party Label:

By:

Date:

Service Provider

Party Label:

By:

Date:

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What the Security Risk Terrorism Agreement Is

The Security Risk Terrorism Agreement is a contractual document used to allocate responsibility, define security controls, and confirm risk acceptance related to terrorism or politically motivated violence for a specific project, facility, or contract. It typically identifies the parties, scope of covered assets or activities, required preventive measures, incident reporting procedures, and indemnification language. The agreement can be standalone or attached as a clause within procurement, lease, construction, or vendor contracts where terrorism-related risks are material to performance.

Why organizations include a Security Risk Terrorism Agreement

A clear agreement reduces ambiguity about who implements security measures, who bears financial responsibility after an incident, and how losses are allocated. It supports compliance with insurance, procurement, and regulatory expectations and documents agreed risk-mitigation steps.

Why organizations include a Security Risk Terrorism Agreement

Who commonly prepares and signs this agreement

Typical parties include facility owners, contractors, insurers, government contracting officers, property managers, and security service providers.

  • Property owner or landlord — Signs to confirm required building-level mitigations and to accept or shift residual risk.
  • Prime contractor or vendor — Commits to implementing agreed security measures and to carry specified insurance coverage.
  • Insurer or risk manager — Reviews clauses to align coverage terms with risk transfer and subrogation language.

Parties should ensure authorized signatories execute the agreement and that responsibilities match operational capabilities and insurance limits.

Core sections you should expect to see

A professionally drafted Security Risk Terrorism Agreement is organized so that duties, triggers, and remedies are obvious; common clauses reduce dispute risk and speed claims handling.

Scope

Defines covered sites, activities, dates, and exclusions so obligations are limited to intended assets and timeframes.

Security Measures

Lists required physical, procedural, and technical safeguards (access controls, patrols, CCTV, screening) with minimum performance levels.

Incident Reporting

Specifies notice timing, information to deliver, escalation path, and cooperation obligations for investigations and law enforcement.

Insurance and Indemnity

Sets minimum insurance types/limits, subrogation waiver terms, and indemnity triggers for loss allocation.

Force Majeure / Relief

Allocates excused performance for acts of terrorism and defines remediation or termination rights following qualifying events.

Audit and Compliance

Permits verification of security compliance, remediation deadlines, and consequences for repeated noncompliance.

Required information typically captured in the agreement

Parties: Legal names of entities
Effective Date: MM/DD/YYYY
Covered Locations: Addresses or site IDs
Risk Description: Nature and scope of terrorism risk
Insurance Limits: Types and minimum coverage
Signatures: Named signatories and dates

Step-by-step: completing the Security Risk Terrorism Agreement

Follow this sequence to complete the agreement accurately and reduce later disputes.

  • 01
    Gather documents: Collect insurance certificates, site plans, and security policies.
  • 02
    Define scope: Confirm dates, locations, and activities to be covered.
  • 03
    Set controls: List mandatory safeguards and performance metrics.
  • 04
    Review and sign: Legal and risk teams review; authorized signatories execute.

Customizing and completing the agreement online

Configure a digital workflow to collect signatures, attach required certificates, and capture an audit trail for compliance and recordkeeping.

Field Configuration
Signature field Assign to named signer; require date stamp
Attachment field Require upload of insurance certificate
Conditional clause Show insurance clause if contractor is selected
Authentication Enable email + SMS code or higher for critical roles

Where to send the completed agreement and how it flows

Route the signed agreement to all parties, risk management, and the contract repository to ensure access for claims, audits, and enforcement.

  • Primary recipient: Counterparty legal or contract manager receives the executed copy.
  • Risk team: Send insurance certificates and signed agreement to risk management.
  • Claims handler: Provide a copy to insurance broker or claims team for immediate reference.
  • Document repository: Store executed document in the contract management system for retention and retrieval.

Digital signing and distribution considerations

Ensure your e-signature platform supports required authentication, attachments, and an auditable certificate of completion before e-signing.

  • Authentication strength: Email link with SMS code or higher for high-risk signers
  • Attachment support: Allow uploading of insurance certificates and site plans
  • Audit trail: Capture IP, timestamp, and change history

Choose a platform that provides secure storage, exportable signed PDFs, and a tamper-evident audit trail to support claims, audits, and legal enforceability.

Key timelines, deadlines, and processing expectations

Be aware of trigger dates for coverage, notice, and remediation so obligations and insurance coverages align with operational schedules.

Effective and Termination Dates:

Set exact MM/DD/YYYY dates to avoid ambiguity about coverage start and end

Notice of Incident:

Typically 24–72 hours for insurer notification; follow policy language

Remediation Deadline:

Specify days allowed to cure a compliance breach, commonly 30–90 days

Insurance Evidence:

Provide updated certificates within 10–30 days of renewal or change

Contract Review:

Annual review recommended to align with insurance renewals

Typical milestone sequence from negotiation to storage

Track these stages to monitor progress and ensure each milestone completes before the next begins.

01

Drafting

Parties negotiate scope and security measures; legal review occurs.

02

Approval

Risk and insurance teams confirm required coverage and limits.

03

Execution

Authorized signatories sign and date the agreement.

04

Filing and Retention

Store executed agreement and supporting documents in contract repository.

Common mistakes to avoid when preparing this agreement

  • Vague obligations — using non-specific terms that make enforcement unclear.
  • Missing evidence — failing to attach insurance certificates or site documentation.
  • Incorrect signatory — having an unauthorized person sign for a party.
  • Mismatched dates — inconsistent effective or termination dates across documents.

Risks and potential consequences of errors or omissions

Contractual Liability: Damages for breach, including remedial costs and lost profits
Insurance Denial: Claim denial if coverage conditions or notice requirements are unmet
Regulatory Risk: Fines or enforcement where regulatory obligations apply
Operational Disruption: Work stoppage or access restrictions after an incident
Reputational Harm: Loss of stakeholders' trust affecting contracts and renewal
Proof Gaps: Inability to prove compliance without signed, dated records

Comparing eSignature vendor pricing and capabilities for signing security agreements

Secure, auditable e-signature platforms vary by price and features; signNow appears first in this comparison to show starting price and common capability checkpoints.

signNow DocuSign Adobe Sign PandaDoc HelloSign
Starting Price $8/user/mo $15/user/mo $14/user/mo $19/user/mo $15/user/mo
Free Trial 7-day free trial Varies by plan Varies by plan Varies by plan Varies by plan
Bulk Send Available on select plans Available Available Available Varies
Audit Trail Yes Yes Yes Yes Yes
HIPAA Compliant Yes (BAA available) Yes (BAA available) Yes (BAA available) No No
Envelope Cap No envelope cap 100 envelopes/user/year limit Varies by plan Varies by plan Varies by plan

Frequently asked questions about execution, validity, and e-signing

Answers to typical questions on enforceability, digital signing, notary needs, and common execution issues for Security Risk Terrorism Agreements.


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