Explain "Classified Contract."

A "Classified Contract" refers to a contract that specifically involves access to classified information and necessitates adherence to certain security measures. This means that the contract is concerned with work that requires the safeguarding of sensitive information that, if disclosed, could harm national security. Because of the nature of the classified information, organizations involved in these contracts must implement stringent security protocols to ensure the confidentiality, integrity, and availability of the information.

These contracts typically outline the specific types of classified information involved and establish the criteria and responsibilities for protecting that information. Additionally, contractors are often required to possess specific security clearances and adhere to National Industrial Security Program (NISP) regulations, ensuring that all personnel handling the classified information are adequately vetted and trained.

In contrast, standard business agreements for non-sensitive items do not involve classified information and therefore do not require such stringent security measures. Similarly, contracts that are exclusive to federal employees or verbal agreements without legal binding do not fit the definition of a "Classified Contract." The essence of a classified contract is its direct link to sensitive national security information, making it unique in its requirements and implications.