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Data Breach Liability

By Jason Straight
January 31, 2016

Today's legal departments are undergoing fundamental changes thanks in part to the imminent threat of ongoing cyberattacks. Given the massive breaches at some of the world's visible brands ' Anthem, Blue Cross Blue Shield, Experian and Sony Pictures Entertainment, to name just some of the most notorious recent victims ' it is increasingly clear that cybersecurity can no longer be regarded as the exclusive domain of IT.

And while corporate boards and executives have had ample opportunity in the past few years to ponder the scope of legal, financial and reputational risk associated with major attacks, it is only now that they are finally beginning to grasp that even an apparently modest breach can quickly escalate into a full-scale, existential business crisis, particularly when planning is inadequate and the initial response to compromised data is handled poorly. The result is that lawyers, who have particular expertise in contingency and risk, are being asked to become more involved in security issues.

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