This CISSP practice question tests your understanding of security and risk management. Read the scenario carefully and evaluate each option against the stated constraints before committing to an answer. After answering, compare your reasoning against the explanation and wrong-answer breakdown below. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.
A financial institution is required to retain customer transaction records for seven years under regulatory mandates. The institution is facing a lawsuit and must preserve all relevant data. What legal concept applies?
E-discovery
Why wrong: E-discovery is the process of producing electronic evidence, not the preservation order.
Data retention policy
Why wrong: Retention policy is routine; legal hold overrides routine disposal.
Chain of custody
Why wrong: Chain of custody documents evidence handling, not the preservation requirement.
Legal hold
Legal hold suspends normal disposal to preserve evidence.
Answer choices
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
Legal hold
A legal hold (or litigation hold) requires organizations to preserve potentially relevant evidence when litigation is anticipated or ongoing.
Key principle: NAT direction and interface roles matter as much as the IP address mapping. Inside/outside designation controls which traffic is translated.
Answer analysis
For each option: why learners choose it and why it is or isn't the right answer here.
E-discovery
Why it's wrong here
E-discovery is the process of producing electronic evidence, not the preservation order.
Data retention policy
Why it's wrong here
Retention policy is routine; legal hold overrides routine disposal.
Chain of custody
Why it's wrong here
Chain of custody documents evidence handling, not the preservation requirement.
Legal hold
Why this is correct
Legal hold suspends normal disposal to preserve evidence.
Related concept
Static NAT maps one inside address to one outside address.
Common exam traps
NAT is not only about the public address. The inside/outside interface roles and the ACL or rule that matches traffic are just as important.
Detailed technical explanation
NAT questions usually test address translation, overload/PAT behaviour, static mappings and whether the right traffic is being translated. Read the interface direction and address terms carefully.
Key takeaway
NAT direction and interface roles matter as much as the IP address mapping. Inside/outside designation controls which traffic is translated.
Real-world example
A SOC analyst notices unusual lateral movement in the network at 2 AM. The IR playbook dictates: identify and contain (isolate the affected machine), then eradicate (remove the malware), then recover (restore from backup), then document. Skipping containment before eradication risks the attacker regaining access. Questions like this test the sequence and rationale of incident response phases.
What to study next
Review the four NAT address types (inside local, inside global, outside local, outside global), PAT port overload, and static vs dynamic NAT use cases. Then practise related CISSP NAT questions on configuration and troubleshooting.
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FAQ
Security and Risk Management — This question tests Security and Risk Management — Static NAT maps one inside address to one outside address..
The correct answer is: Legal hold — A legal hold (or litigation hold) requires organizations to preserve potentially relevant evidence when litigation is anticipated or ongoing.
Review the four NAT address types (inside local, inside global, outside local, outside global), PAT port overload, and static vs dynamic NAT use cases. Then practise related CISSP NAT questions on configuration and troubleshooting.
Static NAT maps one inside address to one outside address.
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Last reviewed: Jun 24, 2026
This CISSP 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 CISSP exam.
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