hardMultiple ChoiceObjective-mapped
CCSP Practice Question: A cloud service provider (CSP) includes a…
A cloud service provider (CSP) includes a limitation of liability clause capped at the total fees paid in the past 12 months. A customer suffers a data breach due to provider negligence, losing $2M in business. The customer's annual spend is $500K. What is the customer's likely recovery?
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
✓
Up to $500K, the total fees paid in the past 12 months
The clause limits liability to fees paid (12 months = $500K), so the customer can recover up to that amount, not the full $2M loss. Option B correctly states this limitation.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
The amount of direct damages only
Why it's wrong here
The cap is dollar-based, not just direct damages.
- ✓
Up to $500K, the total fees paid in the past 12 months
Why this is correct
The explicit cap is based on fees paid.
- ✗
Full $2M because negligence overrides liability caps
Why it's wrong here
Liability caps are generally enforceable unless unconscionable or gross negligence; standard negligence is often covered.
- ✗
Zero because the customer accepted the terms
Why it's wrong here
Liability caps still provide some recovery, not zero.
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Written by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
This CCSP practice question is part of Courseiva's free ISC2 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 CCSP exam.