Final answer:
True. Information flow control security policy defines the permitted relationships between data labels and principals' labels seeking access to data.
Step-by-step explanation:
Information flow control security policy does indeed define the permitted relationships between the labels of data and the labels of principals requesting access to data. These labels, also known as security labels, are used to ensure that data is accessed and shared only by authorized individuals or processes. The labels are assigned to both data and principals, and the security policy specifies the rules for determining whether a principal with a certain label is allowed to access data with a certain label.
For example, in a system where information flow control is enforced, a principal with the label 'Top Secret' may only be allowed to access data with the label 'Top Secret' or a lower label, such as 'Secret' or 'Confidential'. This helps prevent unauthorized access to sensitive information and ensures that data is only shared with individuals who have the appropriate level of security clearance.