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The widespread adoption of Internet-connected devices has shifted from a novelty to a necessity in mainstream culture. Internet connected devices or the Internet of Things (IoT) is a network of physical objects — devices, vehicles, appliances — embedded with sensors, software, and network connectivity, so they can collect, exchange, and act on data, often without human intervention.
As a society, we have become more interested in smart products such as smart home devices, phones, and toys that make life more efficient, convenient and entertaining. Yet, use of IoT devices is not without risks. At the end of last year, Ring camera, owned by Amazon, made news headlines after hackers breached the devices. There were numerous accounts of hackers obtaining access to the cameras and taunting and yelling obscenities at children, and threatening adults for bitcoin ransomware through the cameras. As a result of these hacks, Amazon is now facing a class action lawsuit claiming that the Ring camera security vulnerabilities were a result of Amazon’s negligence and that it led to an invasion of privacy. See, John Baker Orange v. Ring LLC and Amazon .Com LLC, No. 2:19-cv-10899 (2019). These incidents were the motivation for the passage of California’s new IoT Security Law that went into effect on Jan. 1, 2020.
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By Josh Hummel
Federal Court Decision Among the First to Allow a Data Breach Liability Claim to Proceed Under Common Law Bailment Theory
Data breach lawsuits have often struggled to match up the unique realities of data breaches with traditional theories of legal liability. A recent decision from the Southern District of Indiana, however, cut through these issues by allowing a class action claim to proceed on a theory of liability often proposed by commentators as a solution to the data breach liability conundrum but until recently almost uniformly rejected by courts: the common law theory of bailment.
AI Regulation in the U.S.: What’s Coming, and What Companies Need to Do In 2023
By Kim Peretti, Dan Felz and Alysa Austin
Part Two of a Two-Part Article
In Part One, the authors addressed the industries most affected by AI, and began the discussion on U.S. federal and state regulations to expect in 2023. Part Two, continues the discussion on potential federal AI regulation and what companies can do to prepare.
Legal Operations Success In 2023
By Ari Kaplan
Strategies for Navigating an Uncertain Economy, Leveraging CLM Technology to Streamline Processes, and Embracing Change
During a recent discussion with a select group of leaders in legal operations in highly-regulated organizations, several key themes emerged that are likely to drive new initiatives in 2023.
Federal Jury Rejects First Amendment Defense In ‘MetaBirkins’ NFT Standoff
By Todd Larson and Yonatan Shefa
Leading the charge in thorny IP issues have been cases addressing whether NFT makers who utilize other parties’ trademarks can turn to the First Amendment as a defense to trademark infringement. This article analyzes the summary judgment decision that set the stage for trial in Hermes International, and provides some takeaways concerning the legal landscape for NFTs moving forward.