Contextualized Privacy Defense for LLM Agents

Security in LLM agents is inherently contextual. For example, the same action taken by an agent may represent legitimate behavior or a security violation depending on whose instruction led to the action, what objective is being pursued, and whether the action serves that objective. However, existing definitions of security attacks against LLM agents often fail to capture this contextual nature. As a result, defenses face a fundamental utility-security tradeoff: applying defenses uniformly across all contexts can lead to significant utility loss, while applying defenses in insufficient or inappropriate contexts can result in security vulnerabilities. In this work, we present a framework that systematizes existing attacks and defenses from the perspective of contextual security. To this end, we propose four security properties that capture contextual security for LLM agents: task alignment (pursuing authorized objectives), action alignment (individual actions serving those objectives), source authorization (executing commands from authenticated sources), and data isolation (ensuring information flows respect privilege boundaries). We further introduce a set of oracle functions that enable verification of whether these security properties are violated as an agent executes a user task. Using this framework, we reformalize existing attacks, such as indirect prompt injection, direct prompt injection, jailbreak, task drift, and memory poisoning, as violations of one or more security properties, thereby providing precise and contextual definitions of these attacks. Similarly, we reformalize defenses as mechanisms that strengthen oracle functions or perform security property checks. Finally, we discuss several important future research directions enabled by our framework.

The rapid advancement of LLM agents has enabled systems to autonomously perform complex tasks through external tools, but their growing access to personal data introduces significant privacy risks. Existing benchmarks primarily evaluate LLM agent privacy through simulated trajectories and outcome-based metrics, limiting their ability to capture privacy risks arising during multi-step agent execution. In this work, we introduce AgentPrivArena, a framework for evaluating privacy risks in realistic LLM agent workflows. AgentPrivArena integrates authentic MCP tools and self-hosted services within a reproducible execution environment. We further propose trajectory-level privacy metrics that quantify unnecessary information access beyond final response leakage. Building on this framework, we introduce AgentPrivAudit, a runtime auditing approach for monitoring privacy violations during agent execution. Extensive experiments on state-of-the-art LLM agents reveal substantial privacy risks overlooked by existing evaluation paradigms, highlighting the importance of trajectory-level auditing for trustworthy agent deployment.

Personal AI agents built on large language models (LLMs) are increasingly given access to a user's private data and communications in order to provide personalized assistance. This access creates a persistent privacy risk: the agent must decide whether a given sensitive information should be disclosed to a particular party. Existing defenses address this by making the agent's backend LLM more privacy-preserving through stronger system prompts, training, or explicit consent-checking procedures, but this approach has a structural challenge: whenever enforcement is a judgment the LLM makes over the same conversational context an adversary controls, the enforcement mechanism and the attack surface coincide. We demonstrate this against existing defenses with three new attacks that require only ordinary agent interaction and no prompt injection: Collaborative Workspace Lure reframes an extraction attempt as collaborative work; Semantic Obfuscation Attack induces disclosure through omission rather than through anything the agent writes; and Channel Decoupling Attack splits the extraction request and the disclosure across independent channels. All three achieve substantially higher leak rates than the attacks these defenses were originally designed to withstand. Guided by this observation, we present FLOWSEAL, a defense that enforces confidentiality through a tool-level interceptor outside the LLM's context, grounded in data provenance and an information-flow-control lattice with controlled declassification. Evaluated across three benchmarks, five prompt-based baselines, and eight attacks, including a real agent executing live tool calls through MCP, FLOWSEAL reduces leak rates to near zero (e.g., 52.2% to 0.5% against Collaborative Workspace Lure) while preserving task utility, regardless of the underlying LLM backend.