Data Retention and Disposal Policy (OP-POL-003)

1. Objective

The objective of this policy is to establish requirements for the retention, archival, and secure disposal of [Company Name]’s information assets throughout their lifecycle. This policy ensures that information is retained for appropriate periods to meet business and legal requirements while ensuring secure disposal when information is no longer needed, in compliance with SOC 2 requirements.

2. Scope

This policy applies to all [Company Name] workforce members, contractors, and third parties who create, process, store, or dispose of company information. It encompasses all information in any format (electronic, physical, audio, video) and storage medium (databases, file systems, email, backup media, cloud storage, paper documents). This policy covers all phases of the information lifecycle from creation through final disposition.

3. Policy

[Company Name] shall implement systematic data retention and disposal practices that balance business needs, legal requirements, and security considerations.

3.1 Data Retention Framework

All information assets shall be subject to defined retention periods based on their type, sensitivity, and business value. These periods shall be formally documented in the [Company Name] Data Retention Schedule.

3.1.1 Data Retention Schedule

The [Role Title, e.g., IT Manager/Security Officer] shall develop and maintain a formal Data Retention Schedule. This schedule shall be reviewed annually and categorize data types with specific retention periods for each. Examples of categories include:

  • Corporate Governance: Records related to the legal and operational structure of the company.
  • Financial and Tax: Records required for financial reporting and tax compliance.
  • Personnel Records: Information related to employees and human resources.
  • Contracts and Agreements: Legal agreements with customers, vendors, and partners.
  • Operational Data: General business records, correspondence, and system data.

3.1.2 Backup and Archive Retention

  • Operational Backups: Retained for [Duration, e.g., 30 days] for immediate recovery needs
  • Monthly Archives: Retained for [Duration, e.g., 12 months] for historical recovery
  • Annual Archives: Retained per data classification retention requirements
  • Legal Hold Archives: Retained until legal matter resolution and hold release

3.2 Legal Hold and Litigation Support

Special procedures shall govern information retention when legal proceedings are anticipated or active.

3.2 Legal Hold and Litigation Support

Special procedures shall govern information retention when legal proceedings are anticipated or active.

3.2.1 Legal Hold Procedures

  • Legal hold notices shall be issued immediately upon notification of potential litigation
  • All relevant custodians shall be notified and acknowledge receipt of legal hold instructions
  • Automated deletion processes shall be suspended for information subject to legal hold
  • Legal hold inventory shall be maintained documenting preserved information

3.2.2 eDiscovery Support

  • Information systems shall be capable of identifying, preserving, and producing relevant information
  • Search and collection capabilities shall be maintained for electronic information
  • Chain of custody procedures shall be followed for all collected information

3.3 Data Disposal Framework

Information shall be securely disposed of when retention periods expire or when no longer needed for business purposes.

3.3.1 Disposal Triggers

Information disposal shall be triggered by:

  • Expiration of defined retention periods
  • Completion of business processes requiring the information
  • System decommissioning or migration activities
  • Employee termination (personal information only)
  • Contract termination with appropriate notice periods
  • Legal hold release after litigation conclusion

3.3.2 Disposal Classification Requirements

Disposal methods shall correspond to information sensitivity levels:

Public Information:

  • Standard deletion or disposal methods acceptable
  • Standard recycling procedures for physical media

Internal Information:

  • Secure deletion using approved software tools
  • Physical media shredding or secure destruction
  • Verification of deletion completion

Confidential Information:

  • Cryptographic erasure or secure overwriting (minimum 3 passes)
  • Cross-cut shredding for physical documents
  • Degaussing for magnetic media
  • Certificate of destruction required for third-party disposal

3.4 Secure Disposal Methods

3.4 Secure Disposal Methods

Specific disposal methods shall be employed based on media type and information sensitivity.

3.4.1 Electronic Media Disposal

Hard Disk Drives and SSDs:

  • Software-based secure deletion using approved methods
  • Cryptographic erasure where full disk encryption is implemented
  • Physical destruction for Confidential information or failed drives

Removable Media:

  • Physical destruction for all Confidential information
  • Secure overwriting for reusable media containing less sensitive information

Mobile Devices:

  • Factory reset combined with encryption
  • Physical destruction of storage components for Confidential information
  • Remote wipe verification for lost or stolen devices

3.4.2 Physical Document Disposal

  • Cross-cut shredding with particle size [Size, e.g., 4mm x 32mm] or smaller
  • Secure destruction for confidential documents
  • Witnessed destruction for Confidential information

3.4.3 Cloud Data Disposal

  • Cryptographic erasure using customer-managed encryption keys
  • Verification of data deletion from all storage tiers and backups
  • Certificate of deletion from cloud service providers

3.5 Disposal Documentation and Verification

All disposal activities shall be documented and verified to ensure completeness and compliance.

3.5.1 Documentation Requirements

Disposal records shall include:

  • Description of information or systems disposed
  • Disposal method used and justification
  • Date and time of disposal activities
  • Personnel involved in disposal process
  • Verification of successful disposal
  • Certificates of destruction from third-party vendors

3.6 Third-Party Disposal Services

External disposal services shall meet [Company Name] security requirements and provide appropriate assurances.

3.6.1 Vendor Requirements

  • Security assessment and approval before engagement
  • Appropriate certifications (e.g., NAID AAA, R2, e-Stewards)
  • Insurance coverage for data breaches
  • Signed confidentiality and security agreements

3.6.2 Vendor Oversight

  • Validation of certificates of destruction
  • Performance monitoring and contract compliance reviews

3.7 Data Retention Governance

Formal governance processes shall ensure consistent application of retention and disposal policies.

  • The [Role Title, e.g., IT Manager/Security Officer] shall be responsible for program oversight
  • Annual review and approval of the Data Retention Schedule and this policy
  • Training programs for workforce members
  • Compliance monitoring and reporting

3.8 Monitoring and Compliance

Regular monitoring shall ensure adherence to retention and disposal requirements.

  • Regular audits of disposal activities and documentation
  • Exception reporting and corrective action procedures
  • Annual training on retention and disposal requirements

4. Standards Compliance

This policy is designed to comply with and support the following industry standards and regulations.

Policy Section Standard/Framework Control Reference
All SOC 2 Trust Services Criteria CC6.5 - Data Disposal
3.7 SOC 2 Trust Services Criteria CC2.1 - Communication and Information

5. Definitions

Chain of Custody: Documentation of the chronological transfer of evidence or information from collection to disposal.

Cryptographic Erasure: Data destruction method that renders data unrecoverable by destroying encryption keys.

Legal Hold: Suspension of normal records disposal to preserve information that may be relevant to litigation.

Media Sanitization: Process of removing information from storage media such that recovery is not feasible.

Retention Schedule: Documented plan specifying how long different types of records should be kept.

Secure Deletion: Method of data destruction that makes recovery of deleted data infeasible.

Media Sanitization: Process of removing information from storage media such that recovery is not feasible.

Retention Schedule: Documented plan specifying how long different types of records should be kept.

Secure Deletion: Method of data destruction that makes recovery of deleted data infeasible.

6. Responsibilities

Role Responsibility
IT Manager/Security Officer Develop and maintain retention schedules, oversee disposal activities, coordinate legal holds, and ensure compliance with retention policies.
Legal Team Establish legal retention requirements, issue legal hold notices, support eDiscovery activities, and ensure compliance with legal obligations.
IT Department Implement secure disposal technologies, verify disposal completion, manage disposal vendors, and ensure security of disposal processes.
Information Owners Determine business retention requirements, approve disposal activities, participate in retention reviews, and ensure appropriate information handling.
All Workforce Members Comply with retention requirements, participate in legal holds, properly dispose of information, and report retention violations.