The AI assistant agrees with the suggested answer C.
Reasoning:
The most appropriate answer is C because it correctly identifies the primary notification obligations following a potential credit card data breach. Here's a breakdown:

PCI DSS Compliance: If the company processes, stores, or transmits credit card data, it's subject to the Payment Card Industry Data Security Standard (PCI DSS). A breach necessitates immediate notification to the acquiring bank and the relevant card brands (e.g., Visa, Mastercard). This is a contractual obligation.
State Data Breach Laws: Most U.S. states have data breach notification laws that require companies to notify individuals and state authorities (e.g., the Attorney General) if their personal information, including credit card data, has been compromised. The specific requirements (trigger for notification, timing, content of notification, etc.) vary by state.

Why other options are incorrect:

A is incorrect because secure credit card information (likely referring to encrypted or tokenized data) *is* still subject to breach notification laws if the encryption keys or tokens themselves were compromised along with the encrypted data. Even if the card numbers are encrypted, a breach still needs to be evaluated for notification obligations. The mere presence of encryption doesn't automatically negate the notification requirements.
B is incorrect because data breach notification laws typically require an assessment of whether personal information *was or is reasonably believed to have been acquired* by an unauthorized person. Complete certainty isn't always required to trigger notification obligations; a reasonable belief is often sufficient. Also, the PCI obligations would trigger even if certainty of exfiltration is not 100%.
D is incorrect because while reporting to law enforcement (such as the U.S. Secret Service) may be a prudent step, it's not usually the *primary* or initial legal obligation. PCI DSS and state data breach laws typically dictate the immediate notification requirements. While notifying the Secret Service might be part of a broader incident response plan, it doesn't supersede the obligations to banks, card brands, affected individuals, and state authorities.

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