What is data processing agreement?

A data processing agreement, or DPA, is a contract between a business and a supplier that handles personal data on its behalf. It sets out what the supplier may do with the data, how it must protect it and what happens when the work ends. Luxxstack agrees the data terms up front when we scope your plan, including where your data is kept.

Updated October 2026

In practice

Before an AI service touches client records, you check that there is a DPA in place that says what the supplier can do with the data, where it is stored and who else can access it. If a supplier cannot tell you, that is a red flag.

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Questions people ask

What is data processing agreement?

A data processing agreement, or DPA, is a contract between a business and a supplier that handles personal data on its behalf. It sets out what the supplier may do with the data, how it must protect it and what happens when the work ends.

What does data processing agreement look like in practice?

Before an AI service touches client records, you check that there is a DPA in place that says what the supplier can do with the data, where it is stored and who else can access it. If a supplier cannot tell you, that is a red flag.

How does Luxxstack use data processing agreement?

Luxxstack agrees the data terms up front when we scope your plan, including where your data is kept.

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