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SHIELD Act Signed in NY
On July 25, the Governor signed into law Senate Bill 5575, the “Stop Hacks and Improve Electronic Data Security Act” (SHIELD Act), which had passed the Legislature on June 17, 2019. The SHIELD Act was originally proposed in the 2017-2018 session, but died in committee. It returned with gusto in 2019: proposed in the Legislature in February and passing both houses in a little more than four months.
The SHIELD Act does two things, primarily: 1) It amends New York's data breach notification statute, General Business Law §899-aa to update its definitions; and 2) creates a new section, §899-bb, requiring substantive data security controls of any person or business that owns or licenses computerized data including the defined “private information” of a New York resident.
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