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CISA Is acquiring a third-party SaaS application Practice Question

An organization is acquiring a third-party SaaS application. Which of the following should be included in the contract to ensure data protection?

⚠ Common exam trap

Many exam-takers choose a specific technical control like encryption (Option D) because it seems directly related to data protection, but they overlook that the right to audit is the overarching governance mechanism that ensures all controls, including encryption, are actually implemented and effective.

Answer choices

Why each option matters

Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.

Correct answer & explanation

Right to audit the vendor's security practices

A right to audit the vendor's security practices is essential in a SaaS contract because it allows the organization to independently verify that the vendor's controls (e.g., access management, patch management, incident response) meet contractual and regulatory requirements. Without this clause, the organization must rely solely on the vendor's self-assessments or third-party reports like SOC 2, which may not cover all relevant risks or may be outdated. This right is a key mechanism for ensuring ongoing data protection in a shared responsibility model.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • Right to audit the vendor's security practices

    Why this is correct

    Right to audit enables verification of data protection controls.

  • Service level agreement (SLA) for uptime

    Why it's wrong here

    SLA focuses on availability, not data protection.

  • Data ownership and location specification

    Why it's wrong here

    Data ownership is important for legal reasons but not a direct protection control.

  • Data encryption clause for data at rest and in transit

    Why it's wrong here

    Encryption is a requirement but often included in security addendum, not always contract clause.

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JA

Written by Johnson Ajibi, MSc IT Security

Senior Network & Security Engineer · founder of Courseiva

This CISA practice question is part of Courseiva's free ISACA certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the CISA exam.