Quick Answer
The answer is Records Management within Microsoft Purview. This solution is correct because it allows organizations to preserve contracts as immutable records by applying retention labels that lock items against any editing or deletion, even by administrators, directly fulfilling the legal requirement for unchangeable documentation. On the MS-102 exam, this scenario tests your ability to distinguish between Records Management, which enforces strict immutability, and other Purview solutions like Data Lifecycle Management or eDiscovery, which do not provide the same permanent lock. A common trap is confusing retention policies (which only prevent deletion) with record labels (which prevent both editing and deletion). Remember the key distinction: records are read-only, while regular retention still allows modifications. For a quick memory tip, think “Record = Rock solid; no edits, no deletes.”
This MS-102 practice question tests your understanding of manage compliance by using microsoft purview. This is a configuration task: choose the command set that satisfies every stated requirement. Small differences — like 'secret' vs 'password' or 'transport input ssh' vs 'all' — change whether the answer is correct. 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.
An organization has a legal requirement to preserve certain contracts as immutable records. Once a contract is declared as a record, it must not be editable or deletable by users, including administrators. Which Microsoft Purview solution should be configured?
Data Loss Prevention
Why wrong: DLP prevents data leaks but does not enforce immutability.
eDiscovery (Premium)
Why wrong: eDiscovery is for search and hold, not for declaring records.
Communication Compliance
Why wrong: Communication Compliance monitors communications for policy violations.
Records Management
Records Management enables the declaration of records, making them immutable.
Answer choices
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
Records Management
Records Management in Microsoft Purview is designed to declare items as immutable records, locking them against editing or deletion by any user, including administrators. This satisfies the legal requirement for preserving contracts as unchangeable records by applying retention labels that enforce strict regulatory compliance.
Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Answer analysis
For each option: why learners choose it and why it is or isn't the right answer here.
Data Loss Prevention
Why it's wrong here
DLP prevents data leaks but does not enforce immutability.
eDiscovery (Premium)
Why it's wrong here
eDiscovery is for search and hold, not for declaring records.
Communication Compliance
Why it's wrong here
Communication Compliance monitors communications for policy violations.
Records Management
Why this is correct
Records Management enables the declaration of records, making them immutable.
Related concept
Read the scenario before looking for a memorised answer.
Common exam traps
The trap here is that candidates confuse Records Management with eDiscovery holds, thinking a legal hold provides immutability, but eDiscovery holds only prevent deletion during litigation and do not prevent editing or permanent record locking.
Detailed technical explanation
Records Management uses retention labels with the 'Lock' option to apply a 'Regulatory Record' label, which invokes a time-based or event-based retention policy that prevents any modification or deletion, even by compliance administrators. Under the hood, this leverages the Preservation Lock API in Microsoft 365 to enforce a tamper-proof state, ensuring the record's integrity for audit and legal purposes. In a real-world scenario, a financial institution might apply a Regulatory Record label to executed contracts to meet SEC Rule 17a-4 requirements for non-rewritable, non-erasable storage.
Key takeaway
Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Real-world example
A cloud solutions architect for a retail company is evaluating services for a new workload. The correct answer here reflects best practice for the specific scenario described — not a general cloud recommendation. Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option. Cloud exam questions reward reading the constraint carefully: the same technology can be right or wrong depending on the use case.
What to study next
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FAQ
Manage compliance by using Microsoft Purview — This question tests Manage compliance by using Microsoft Purview — Read the scenario before looking for a memorised answer..
The correct answer is: Records Management — Records Management in Microsoft Purview is designed to declare items as immutable records, locking them against editing or deletion by any user, including administrators. This satisfies the legal requirement for preserving contracts as unchangeable records by applying retention labels that enforce strict regulatory compliance.
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
Read the scenario before looking for a memorised answer.
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Last reviewed: Jun 11, 2026
This MS-102 practice question is part of Courseiva's free Microsoft 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 MS-102 exam.
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