malicious code
Definition
Malicious code refers to any software, script, or program that someone deliberately creates to damage, disrupt, or gain unauthorized access to a computer system or network. This includes viruses, ransomware, spyware, and other harmful programs that can steal your data, lock your files, or cripple your business operations.
Example
A hacker sends your employee a fake invoice email containing hidden malicious code, and once your employee opens the attachment, the code silently installs itself and begins stealing customer credit card information from your system.
Watch Out
Your business contracts, especially with vendors and software providers, often include clauses that hold you liable if malicious code originates from your systems and spreads to a partner's network, so make sure you have solid cybersecurity practices and appropriate insurance coverage in place.
See which terms appear in your contract?
This definition is for informational purposes only and does not constitute legal advice. Please consult with a licensed attorney for legal guidance.